Retirement through Iii health

willieormandsheroes

Pity I can't spell Ill...anyway

My wife (age 56) is a Breast Care Nurse Specialist and so works with women who have been diagnosed with breast cancer. Basically my wife sits with women and partner/friends through their diagnosis consultation with the consultant surgeon and then supports them as their primary point of contact through their treatment - chemo, surgery and radiotherapy - and then afterwards for up to 5yrs.

Some 4 months ago she herself was diagnosed with a Grade 3 Breast Cancer - and her prognosis is not great - and given her job she 'knows too much'.

She is off work at the moment on sick leave - undergoing chemo and would be returning to work 'full time' on a phased return from middle of next year.

The problem is that she just cannot see how she can return to work to do her job - given her own circumstances.

She is of the group of nurses that can 'retire' now. But clearly if she were to do that her retirement lump sum would be less that what it would have been had she worked to 60 or 65.

Does my wife's work and health circumstances give her any grounds for seeking retirement through ill-health, And if it does what would that retirement pension be? That she is entitled to now? Or that she'd be entitled to at 65.

Many thanks for any advice on this - we need to try and minimise financials worries looking forward as we clearly have enough on our plate as it is.

Kynthia

Presumably she's with the NHS defined benefit pension scheme? Do they have a website with information on ill health retirement she could look into and see what the criteria are? Also she could ask for a quote for early retirement, which although actuarially reduced would at least show her what she can get should she go early without ill health retirement.

PeacefulWaters

There might be a case for switching out of the DB scheme and converting it into a SIPP as a lump sum. IFA needed.

Then if there's reduced life expectancy she can either spend faster or ensure somebody else benefits from that cash if she does pass away young.

willieormandsheroes

Yes - she's in the NHS DB scheme.

I have had a look on-line and downloaded the guidelines for early retirement due to ill-health. But they are complicated - and I am not sure how her situation sits with being unable to do her job - because clearly there is nothing actually preventing her sitting down day-after-day with women with BC - but she just can't imagine being able to cope. And neither can I - especially as her prognosis is not that great (60% chance of making 5yrs). Going back to work to get your BC out of your mind for at least some time of a day is great - but that doesn't work when you have her job - in fact it does quite the opposite - it sticks her own mortality right in her face.

We will go onto the full pension calculator site (talked about that today hence my posting here) which will provide pension information specific to her - the standard one on the NHS Pension site is very general. As she is in the 'special' group of nurses who can take retirement from 55 she could retire right now - and we can find out precisely what that would be - but that would be earlier than we had planned and therefore a smaller pension and/or lump sum than she had planned for.

HappyHarry

PeacefulWaters wrote: »

There might be a case for switching out of the DB scheme and converting it into a SIPP as a lump sum. IFA needed.

Then if there's reduced life expectancy she can either spend faster or ensure somebody else benefits from that cash if she does pass away young.

No IFA needed, as a transfer to a SIPP is not possible.

This is due to the NHS pension being an unfunded DB scheme.

xylophone

It would appear that Normal Pension Age ( being able to take a full pension without actuarial reduction) is actually 55 in your wife's case?

http://www.nhsbsa.nhs.uk/Pensions/4213.aspx

She could retire on full pension and then perhaps take a part time job not related to nursing if she feels up to it?

woolly_wombat

xylophone wrote: »

It would appear that Normal Pension Age ( being able to take a full pension without actuarial reduction) is actually 55 in your wife's case?

http://www.nhsbsa.nhs.uk/Pensions/4213.aspx

She could retire on full pension and then perhaps take a part time job not related to nursing if she feels up to it?

Your wife has presumably been in the nursing profession for many years and is therefore likely to have Special Class status which would allow her to retire at 55 without a reduction in some of her benefits.

The rules are tricky.

For eligibility criteria (members factsheet) see: http://www.nhsbsa.nhs.uk/Documents/Pensions/Special_Class_status_member_factsheet-20160202-(V5).pdf

and (employer factsheet with more detail):
http://www.nhsbsa.nhs.uk/Documents/Pensions/Special_Class_status_employer_factsheet-20160202-(V5).pdf

Call NHS pensions for more detail and/or the RCN pensions officer if your wife is a member.

I gather there is an appeal process.

willieormandsheroes

Thankyou. Yes she has Special Class status as she has worked in the NHS all of her working life. She could indeed retire now - but her annual pension and lump sum are both less than they would be were she to continue working until older - maybe towards 60 or indeed 65.

And yes - she is considering taking a part time job following 'retiring' - maybe in the NHS - maybe not. I was wondering whether early retirement through ill-health criteria covered her being 'mentally' unable to do her job due to her own condition being what her job asks her to face in others every day.

And does retiring from the NHS through ill-health preclude the individual from taking another job ion the NHS? I'm guessing it would - otherwise she could just move to that job rather than having to retire through ill-health.

maybe I'll get her to phone NHS Pension and the RCN for advice (though she doesn't want to go there until her treatment is over). Maybe I can do it on her behalf.

xylophone

And does retiring from the NHS through ill-health preclude the individual from taking another job ion the NHS? I'm guessing it would - otherwise she could just move to that job rather than having to retire

If she feels up to it, she might explore that option now?

Manxman_in_exile

Perhaps I'm mistaken, but when I worked in the NHS the criteria for an ill-health retirement were really onerous.


Basically, you had to be so ill that you were literally incapable of working.


As it's the NHS I presume your wife's in a union? They should be able to advise on the likelihood of a successful application

Manxman_in_exile

Couple of other points...


First, I worked in a mental health trust where some clinical staff had "Mental Health Officer" status. As I recall, this meant they could retire at 55 and some years of service were doubled up so that you could retire on a full pension at 55 with just 20 years of service. Does your wife have a similar sort of status within the NHS pension scheme? If she can double up some years and has worked in the NHS all her working life, why not just retire now? I'm not sure how she can get a better pension by continuing working - unless, of course, her special status does not allow double-counting of service.


Second, I think that in the long distant past it may have been possible to be re-employed in the NHS after an ill-health retirement (subject to certain conditions), but I'm fairly certain this is unlikely still to be the case. As I posted above, I think you can only successfully apply for ill-health retirement in the NHS if you are too ill to work.


But if she just retires then I think she can still be re-employed. (But can't rejoin the scheme).


If she's a nurse, the RCN (or whatever union she's in) should be able to advise further.