Pension made up of GMP only

JAG61

I am wondering if some one can please help me.

Rolls Royce has just confirmed that my husband has a Deferred Pension with them.

The pension is made up of GMP only - which revalues each year.

The letter said because it is GMP only he can not take it early.

I think the scheme retirement age is 60 and his GMP age is 65 and his State Pension Retirement age is 67.

Please does anyone know what happens to the GMP at these various age milestones. The GMP is all pre 88 and I think it revalues at 8.5%.

Many thanks

xylophone

http://www.barnett-waddingham.co.uk/comment-insight/blog/2014/08/18/what-is-a-gmp/


Will your husband be permitted to take his pension at age 60?

The scheme has no obligation to pay any increases on pre 88 GMP once GMP age (65 for men) is reached.

Is your husband of an age to obtain a new rules pension statement?

https://www.gov.uk/government/news/millions-more-offered-free-pension-statement

JAG61

Many thanks for the links xylophone.

He will be 54 in April so is just over a year short for obtaining the new statement.

I am unsure about him being able to take the pension at 60.

The pension when he left JAN 85 was 186.68 GBP.

At 60 would that still be 186.68 GBP and not actually revalue until he reached 65 GMP age?

This pension is truly a lucky find as he thought he had taken it all.
It was only because I started to look into his pension for him that I inquired at the same time I was gathering data about my EX Rolls Pension

xylophone

As this pension is all GMP (no excess), but the scheme pension age is 60, he will need to ring the RR pension administrator and ask whether he will need to wait to draw the pension until he is 65.

They might grant a reduced pension at 60 with a step up at 65?

JAG61

Many thanks for this xylophone. I will get on to it for him.

xylophone

I will get on to it for him.

Pension Admin might only speak to your husband about the matter?

greenglide

The scheme has no obligation to pay any increases on pre 88 GMP once GMP age (65 for men) is reached.

Since his SPa date is after 5/4/2016 DWP will not inflation proof the GMP in payment via the State Pension either.

xylophone

Since his SPa date is after 5/4/2016 DWP will not inflation proof the GMP in payment via the State Pension either.

Given that his GMP has been revaluing in deferment by fixed rate of 8.5%, even under the current system I suspect that he would have found his COD much greater than his ASP so it would have been a long time before one would have caught up with the other and permitted index linking.

JAG61

Many thanks all for replies.

Rolls Royce have confirmed the Pension can only be taken at 65.

They have confirmed it will not be increased once in payment.
There is a 50% provision for a spouse but they say they do not need to know about me - I found this weird because Barclays want to know about him on my Pension and so do the Prudential.
We thought he would have to sign a nomination form.