public sector pensions

green_man

Your suspicions are unfounded and you are wrong, last year I was paying 10.1% and the year before that I think it was 8.6%, you have to go back to the year before that when it was 6.4%. I get the idea that you think I am somehow against you, I'm not, I am merely stating what I am paying, it isn't a race to the bottom you know, I don't begrudge the police their pension.

Sorry you may have misinterpreted the intent of my posts, I'm not trying to suggest the teachers don't deserve their pensions at all, It's just that some in the public sector seem to imagine that they are being hard done to by comparison to the police (as an example) whereas their contribution levels over the last 25-30 years have been much less. Sorry for the confusion.

The fact remains that all of these public schemes still represent excellent value for money when compared to 99% of schemes available in the private sector. I have always worked in the private sector and I have always made pension contributions (to money purchase pots) at much higher levels than my wife (and my employer has put in 8-10% of my salary on top) In the past 10 years total contributions have exceeded 40% of my salary. Yet the pension income available from my pot is 1/3 of the level of my wifes police pension. Of course what I do have is much more flexibility (given the new rules from 2015), but that certainly costs me a lot!.

chucknorris

green_man wrote: »

Sorry you may have misinterpreted the intent of my posts, I'm not trying to suggest the teachers don't deserve their pensions at all, It's just that some in the public sector seem to imagine that they are being hard done to by comparison to the police (as an example) whereas their contribution levels over the last 25-30 years have been much less. Sorry for the confusion.

The fact remains that all of these public schemes still represent excellent value for money when compared to 99% of schemes available in the private sector. I have always worked in the private sector and I have always made pension contributions (to money purchase pots) at much higher levels than my wife (and my employer has put in 8-10% of my salary on top) In the past 10 years total contributions have exceeded 40% of my salary. Yet the pension income available from my pot is 1/3 of the level of my wifes police pension. Of course what I do have is much more flexibility (given the new rules from 2015), but that certainly costs me a lot!.

Don't worry I certainly know the value of the public sector pensions having worked in the private sector most of my life, I have only worked in the public sector for 4 years. Even if that wasn't enough for me to realise (it was) my wife is an actuary. Even buying the additional pension in the TPS is a good deal, which is why I have maxed out on that particular avenue.


If it wasn't for fantastic value the pension tipping the scales, I would probably not have stayed that long, as it is I will probably retire next year

Andy_L

jem16 wrote: »

It also needs to be more widely understood that teachers joining since 2006 have been on a NRA of 65. With the LGPS many could retire at age 60 if they fulfilled the Rule of 85.

As to more generous I'm not sure where. Both the LGPS and TPS were 1/80ths schemes with automatic lump sum and both changed to 1/60ths schemes with no automatic lump sum.

TBH, before the recent/proposed changes to CARE schemes the Teachers, LGPS, CS & NHS schemes were all much of a muchness

The CS had lower contributions (but then arguably lower salaries) and the LGPS had an NRA of 65 - but the rule of 85 realistically meant that anyone who could afford to retire at 60 could, with the chance of leaving at 55 without actuarial reduction if the department said yes