Police Pension Scheme Transfer to SIPP blocked

CLAPTON

in todays terms 400 per month for say 35 year is about 168,000 plus a bit of growth

that will buy an annuity of about 3% so about £5,000 per annum


if 12% is so easy why not borrow at 4% and make all that profit for doing nothing?

hyubh

MARKYMARK675 wrote: »

I might have to try and work as an MP , with the big pay rise, big pension(for doing !!!!!! all work for two years, and paying !!!!!! all in)

See pp.20-23 of this:

http://parliamentarystandards.org.uk/payandpensions/Documents/IPSA%20final%20report.pdf

And compare to this:

https://www.gov.uk/police-pension-reform

Report back on what you find. I'll leave it up to you, but you may wish to compare accrual rates, revaluation rates, normal retirement ages, and contribution rates.

ermine

MARKYMARK675 wrote: »

Even modest growth of around 12% per annum would blow the Police benefits out of the water, and the tax free benefit of being able to pass on to family, beyond that.

Have you any idea of how hard it is to achieve such 'modest' growth? Heck, if that's modest growth for you then what the hell are you doing in the Police Force? Get your butt down to Goldman Sachs, tell 'em you can achieve a modest growth rate of 12% p.a. persistently for ten years or more, and they'll take you on. Be sure to have some proof of that; they're suspicious devils.

green_man

The OP clearly has a huge misunderstanding of the value of his pension and what he may have received investing in alternative schemes.

My wife is in the Police. We started work at the same time and both contributed to pensions, my wife to the Police scheme and myself to a selection of money purchase company schemes. Having now contributed for 27 years I have been putting almost double the monetary value into my pension compared to my wife, yet if I were to retire at 55 I could receive a annuity payment less than half of that of my wife. So who is getting the value here.

Also I'm not sure where the OP could possibly have gotten the idea that 12% per annum is normal investment returns, I tend to use 3-4% as more typical figures.

Thrugelmir

MARKYMARK675 wrote: »

I would love to leave the scheme, that's the point, but into a SIPP.
Why pay into another pension scheme?, they are all crap, which is why mine looks good, for now...., till the next round of cuts to public services. yes, it's before tax relief at 20 percent.

As a taxpayer myself. I'd happily see all public sector workers exit their schemes. Would help resolve the UK's ongoing budgetary issues.

Personal pensions offered far better returns before the Clown raided them. The price some of us are still paying for today. Whilst our public sector colleagues accrued pensions we could only dream of. As the funding levels to achieve the same level pension at retirement (at the same age) should not be underestimated.

MARKYMARK675

Your right folks, I need to take emotion out of the equation, and accept that I can only expect 3 to 4 percent growth...and take what I'm given, and be thankful I've got a job with a pension, and look forward to my next pay cut in April.
I might also remove my current investments from the global investment trust, because the growth over the past three years must be a fiction of my imagination. Keep your money in the bank guys and enjoy the low risk returns!

BobQ

How much does OP's employer contribute to the police pension?

ermine

MARKYMARK675 wrote: »

I might also remove my current investments from the global investment trust, because the growth over the past three years must be a fiction of my imagination.

How did it go with Goldman Sachs? Do you understand the principle of not inferring the general from the particular, the idea of mean reversion, and more particularly, which of Psy-Fi's big lists of cognitive biases you are being fooled by?

I did far better than you did in the dotcom boom - 12%? pah, I raise you 20%. real b1tch about the bust though...

A fool and his money... Go for it. As a taxpayer, !!!!!! beat it out of your dreadful pension. Just git, go.

God help us if you're ever in charge of evaluating evidence!

Greeniron

Another individual who left a state backed scheme for 12% returns:

http://www.ftadviser.com/2015/01/21/pensions/personal-pensions/when-liberation-does-not-mean-freedom-ESUKqWwB806y0torUuX8IM/article.html

dunstonh

I might also remove my current investments from the global investment trust, because the growth over the past three years must be a fiction of my imagination.

Ahh, that explains it. It confirms you are you an inexperienced investor doing this on emotion. Looking at three growth years thinking that is the norm.

Keep your money in the bank guys and enjoy the low risk returns!

And on behalf of all taxpayers, I thank you for releasing us of the burden of your pension.

and be thankful I've got a job with a pension, and look forward to my next pay cut in April.

If your comments and behaviour on this thread are anything to go by, you may not be in the police force for that long anyway. I cannot believe a servicing police officer could take such important decisions on that evidence.