Pension contributions never credited to fund!

eckosix

Well, I contacted my employers pension scheme that I have been contributing to for 9 years, to ask about transferring in an old private pension that I forgot I had.
Turns out that I am not even a member of that scheme and never had been!
Contacted payroll to be told that there seems to be some kind of mixup and the payments have been deducted and sent to the treasury, so I can basically have the money back or it be recredited into the pension fund. Only thing is that it will be under the new conditions that came in around 2007 and it isnt as good a deal and I dont want it. I am really mad, because a benefit of the pension was a life insurance for my wife and kids to be paid upon my death, which would obviously not have been paid out should anything have happened.
So I wanted to ask if anyone thought I could get the money back and pay it into a private pension or would this not be allowed? I am thinking of moving jobs so I wouldnt be with this employer anyway. Also if I did get this money back what implications might there be for previous years when I was paid tax credits, would getting the money back make my previous total earnings for the year be higher so I would have to pay tax credits back, my son would have to pay student finance back or would it not affect previous years? I cannot believe this has happened, payroll say that they dont even know how much Ive paid as they dont think the records go back that far! What a carry on! :mad:

sleepless_saver

That's horrrific. I don't see why you should have to suffer as a result of their mistake. I suggest you get advice before even considering taking either of the options they have given you, with the aim of being put back in the position you would have been in if they had not messed up.

http://www.pensionsadvisoryservice.org.uk/when-things-go-wrong/complaining-about-your-workplace-pension-scheme
https://www.pensions-ombudsman.org.uk/

eckosix

sleepless_saver wrote: »

That's horrrific. I don't see why you should have to suffer as a result of their mistake. I suggest you get advice before even considering taking either of the options they have given you, with the aim of being put back in the position you would have been in if they had not messed up.

http://www.pensionsadvisoryservice.org.uk/when-things-go-wrong/complaining-about-your-workplace-pension-scheme
https://www.pensions-ombudsman.org.uk/

Thanks I will look at those links, tbh Im just so shocked at what Ive been told I am not thinking straight. You are right I need to look into it a bit more.

FatherAbraham

eckosix wrote: »

payroll say that they dont even know how much Ive paid as they dont think the records go back that far!

Wow! Don't you keep your payslips?!

This is exactly the kind of scenario for which I've been keeping every payslip I've ever had for the past twenty-five years.

Indeed, having those payslips showing pension-contribution deductions might have helped with a claim for the death benefit if you had died.

No help to you now, of course, but a lesson to the rest of us to keep pension-related paperwork forever.

Warmest regards,
FA

eckosix

FatherAbraham wrote: »

Wow! Don't you keep your payslips?!

This is exactly the kind of scenario for which I've been keeping every payslip I've ever had for the past twenty-five years.

Indeed, having those payslips showing pension-contribution deductions might have helped with a claim for the death benefit if you had died.

No help to you now, of course, but a lesson tot he rest of us to keep pension-related paperwork forever.

Warmest regards,
FA

Yes I suppose it is a lesson to me and everyone, we moved a couple of years ago and old things got thrown out. I will go out of my mind if they dont come up with a true total, I know what my wages were and what percentage was taken!

xylophone

http://www.pensions-ombudsman.org.uk/Complaints/Before_you_complain_to_us/index.aspx

mgdavid

This sounds like a cockup of major proportions, don't take 'no' for an answer. Talk to your manager, get them onside and hopefully supportive. Then go to Personnel or HR, whatever they are called there, and request politely but forcefully to be put in the position you would be in if they had not made the mistake. You could also ask to involve the Finance director as it's probably his ultimate responsibility.
If all of that fails, then go outside to the authorities linked in other posts.
Are you in a staff association or trade union?

sleepless_saver

mgdavid wrote: »

....go to Personnel or HR, whatever they are called there, and request politely but forcefully to be put in the position you would be in if they had not made the mistake. You could also ask to involve the Finance director as it's probably his ultimate responsibility.

I suggest you do this in writing, include finance director as copy addressee, keep a copy yourself and give them a date (say 2 weeks) you want a response by.

Also, they should have a complaints procedure. Ask them for a copy of that. Try to follow the procedure as it will make life easier if you do have to go to Ombudsman later - you would be expected to have used company procedures before going to them.

xylophone

Also, they should have a complaints procedure

See link in 6 above.

atush

I agree, this is horrific, and none of what they have proposed is enough. by NO MEANS take the money (as it will be taxed and minus their contribs) and by NO MEANS accept the new pension.

You should as said, politely and forcefully ask to be put in the position you should have been had they done their job correctly.

So, get with the letter writing, contact the pensions service for advice, and let us knwo what they say and what happens.

eckosix

Thanks for all the advice, I am not accepting this, you are all right! This weekend I will get the letters done and see what they come back with.