Help understanding HM armed forces pension statement please

Belfast1978

Hi ,



I was wondering if anyone could explain what this means please.After writing off for my army pension balance just so I have my paper work inorder I received a letter that has this info I don’t quite understand –



Part 2 – current pension position

Preserved pension payable at age 60 £1705.95

Preserved terminal grant payable at age 60 £5117.85

Value of these preserved benefits against the life timeallowance ( LTA) £39236.85 (3.14%)



What does this mean please?

Southend1

I read it as you will receive £1705.95 each year from age 60 and a lump sum of £5117.85 at age 60. These figures will probably be revalued annually in line with whatever index applies to forces pensions.

Belfast1978

Ah great thank you:] I was wondering not sure if you or anyone else will know this can you pay into a Army pension after leaving the forces?

atush

No you can't, you could rejoin if you worked for them again.

You can pay into your current work pension, or a personal pension or Sipp. These types of pensions are more flexible and will fall under the new rules recently announced.

Bonny123

I contacted Veterans UK for a pension value at age 8 months before my 60th birthday as I was intructed to do this when I left the WRAF IN 1882. I actually contacted them 8 months before my 60th (age 59yrs 4mths) and spoke to one of their representatives who told me I needed to get a private company who could do the transfer for me. Which I did. They have now told me I cant tranfer the money as I should of done this before my 59th birthday, I didnt know this. I have gone through their complaint procedure which each time takes a life time to get the response. They just quote the 59yr rule. What about me being mis informed when I left or not given the correct guidance.Yes there is information on the web which I have since read however had no need as I was advised to contact six months before 60th birthday. Can anyone help me to get what is rightfully mine.

hyubh

Bonny123 wrote: »

I contacted Veterans UK for a pension value at age 8 months before my 60th birthday as I was intructed to do this when I left the WRAF IN 1882.

'Pension value' might mean the annual pension due on retirement or a cash equivalent transfer value for when you wanted to 'move' it elsewhere (or were divorcing and so splitting assets with your estranged spouse). My guess is that these two senses have got confused.

They have now told me I cant tranfer the money as I should of done this before my 59th birthday, I didnt know this.

That is normal - the statutory right to transfer disappears when you're within a year of the scheme's normal retirement age.

Can anyone help me to get what is rightfully mine.

You'll be getting was is rightfully yours - a good pension. To be honest, there's a reasonable chance the confusion here has prevented you from making a bad decision - why did you want to transfer out? If it was to take 'advantage' of the liberalisation of DC pensions, that would have been academic because transfers out to DC arrangements from unfunded public sector schemes, like the armed forces one, have been banned.

kidmugsy

I despair of the stupidity of someone who, asked to write an official document, came up with "Preserved pension payable at age 60 £1705.95". Addition of the word "annual" makes all clear. Omission leads to confusion.

Take 'em out and shoot 'em.

molerat

They told you to claim your pension 6 months before your 60th - correct information.
You will get what is rightfully yours - a pension for life and a lump sum.
The information about transferring the pension is and always has been available to you, maybe it was included in the information given when you left the service.
You have no complaint.

System

Hi

Your annual pension is

£1705.95

Your Taxfree cash lump sum (3/80ths) called a terminal grant is 3 times your pension value

£5117.85


this amounts to a percentage of the LTA, as shown.

You may be able to increase the Terminal Grant and Decrease your annual amount of pension that is paid.

Also you should get Annual Benefit Statements showing and index linked cost of living increases.

atush

You may be able to increase the Terminal Grant and Decrease your annual amount of pension that is paid.

But this may be a VERY poor choice