Buying extra pension advice LGPS

Durban

I wonder if anyone can help me with this query.
I have been quoted £79.80 per month over 16 years to purchase an extra £1000 per year index linked pension.
I am in the LGPS, a 48 year old female.
This extra payment will be only pension for myself, there are no spousal benefits with the extra.
I work part time and at the moment am contracted out.
We lived overseas for some years and I will have about 34 years of state pension.
I also pay £75 pm into an AVC which lets me take out the whole amount as a tax free lump sum.
I'm not sure what to do, whether to buy extra pension which is index linked or pay more into my AVC's or possibly a mixture of both as and when I can afford it.
Do you think that the price for the extra pension is a good deal.
I realise that the £1000 per annum will be taxed but I also realise that the lump sum will be eaten away by inflation.
I do have a family that could benefit from the lump sum if I put it all into the AVC and I realise that they wouldn't with me buying the extra pension.
Has anyone here got any advice that could point me in the right direction?
Many thanks

[Deleted User]

My situation is sort of similar...

Upon the change to the Alpha scheme my pension contributions reduced from 7.27% to 5.45% and after investigating added pension I decided to pay the extra money I was pocketing into an existing personal pension.

Many reasons... My NRA is 67 and preferred the flexibility a PP offers e.g. taking a lump sum will not affect Premium/Alpha DB scheme and is accessible at a much younger age.

Briefly, I thought the added pension was poor value. I'd have to live to 85/86 just to get my contributions back. In fact longer as they would be subject to tax.

Into the mix is also an S&S ISA for retirement through Cavendish.

So yeah the main DB pension is there for stability with other products for flexibility.

Of course there are so many other considerations and i've not listed all my plans, just the bit I though was relevant...

atush

Will you be retiring at scheme age or early?

I am unconvinced that buying added pension, then taking it with an actuarial reduction is wise.

So, if going early i'd say a personal pension would be better?

Durban

Thank you for your replies.
At this stage I'm probably going to work until NRA but that is now. I may want to change my mind at a later stage.
I wasn't going to take any of my actual DB as a lump sum.
I'm building up the AVC pot for that as I'm able to take the whole AVC as a lump sum.
I was thinking more of the security of buying say an extra £1000 pension but wasn't sure if it represented a good deal.
Many thanks again. I think I'm leaning on the side of not buying the extra pension but still a bit uncertain

xylophone

Consider using the £1000 to contribute to a personal pension /SIPP for flexibility?

http://www.cavendishonline.co.uk/pensions/

https://www.gov.uk/tax-on-your-private-pension/pension-tax-relief

https://forums.moneysavingexpert.com/discussion/comment/68562193#Comment_68562193