Company Gone Bust and my Pension as Well

AlanP_2

Clifford_Pope wrote: »

Reasonable to say "We don't know where any possible shortfall on our commitments will be met from, but if the worst happens, we are sure the same company that our members work for will cough up" ?

I thought pension trustees were ultra-cautious, carefully spreading risks over different kinds of investments, moving out of shares and into safer things like government bonds as retirement neared, etc?
These are experts, far-sighted, looking carefully at the long term.
So they just say "Oh well, Blogs and Co will probably pay".

At the end of the day the commitment to pay their employees a Final Salary / DB pension sits with the company so they are responsible for any shortfall.

The Trustees "manage" the assets they control but they don't "owe" the pensioners what they are due.

ste00

thanks for the replys ,yes looked on the ppf website they take 10 percent of whatever you might have recived perhaps maybe ! , so the moral to this story if someone offers you a jump ship option take it , as if you stay onboard when the ship sinks you will need the lifeboat that the experts keep telling me about , I hope it has a better ending the the ship in 1912 as that did not have enough lifeboats ,, no need to reply as i know my options now ,, keep swiming ,watch out for sharks !!!

mark55man

I read somewher that the Titanic did have enough lifeboats, but that lower class people weren't allowed to use first class boats, so lots of posh people got off the ship in half empty boats. Which is a metaphor for something.


I hope OP got the situation resolved

Dox

ste00 wrote: »

thanks for the replys ,yes looked on the ppf website they take 10 percent of whatever you might have recived perhaps maybe ! , so the moral to this story if someone offers you a jump ship option take it , as if you stay onboard when the ship sinks you will need the lifeboat that the experts keep telling me about , I hope it has a better ending the the ship in 1912 as that did not have enough lifeboats ,, no need to reply as i know my options now ,, keep swiming ,watch out for sharks !!!

No, the PPF doesn't take 10%. In many cases it has to 'top up' (substantially) the funds which come over in respect of the pension scheme of an insolvent employer.

ste00

DOX thats interesting were do the PPF get this money from ???? to substatially top things up ,

Dox

ste00 wrote: »

DOX thats interesting were do the PPF get this money from ???? to substatially top things up ,

A levy on all defined benefit pension schemes which might qualify for PPF membership if the employer fails.

AnotherJoe

ste00 wrote: »

thanks for the replys ,yes looked on the ppf website they take 10 percent of whatever you might have recived perhaps maybe ! , so the moral to this story if someone offers you a jump ship option take it , as if you stay onboard when the ship sinks you will need the lifeboat that the experts keep telling me about , I hope it has a better ending the the ship in 1912 as that did not have enough lifeboats ,, no need to reply as i know my options now ,, keep swiming ,watch out for sharks !!!

It's Assumption City with you !

Why on Earth did you assume they "take" 10% ? If the company is able to pay the full,pension then the PPF. isn't needed. It's only if they can't that the PPF steps in and they will make up the difference between what they can salvage out of the ruins of pension up to 90%. So if the pension is empty with no money, they will pay 90% not take 10%.

Do you write Daily Express headlines ?

As for who funds them http://bfy.tw/IKTl

ste00

dox,,, says the take a levy so dont know what % sorry another joe just need the facts , could do with an expert to tell me how much pension I will get from ppf , I only had 30k T/V that I missed out on as the firm went bust before I got the paper work back to them , just a rough idea will do please ,nothing to complex ball park replys please !!

Brynsam

AnotherJoe wrote: »

If the company is able to pay the full,pension then the PPF. isn't needed. It's only if they can't that the PPF steps in and they will make up the difference between what they can salvage out of the ruins of pension up to 90%.

Not quite. If the scheme can pay benefits at least as good as those the PPF would provide (which isn't the full pension in the case of deferred pensioners, such as OP), then it doesn't qualify for admission to the PPF.

Pensioners who have reached their pension scheme's normal retirement age normally get 100% of their current benefits, although future increases won't be as good as they might have been expecting.

jamesd

mark88man wrote: »

I read somewher that the Titanic did have enough lifeboats, but that lower class people weren't allowed to use first class boats, so lots of posh people got off the ship in half empty boats. Which is a metaphor for something.

For the inaccuracy of things which can be read.

The Titanic had more than the required number of boats per the rules at the time. Those rules only went to vessels of 10,000 tons and up, adding no more boats beyond this. So only 53% of those aboard could fit into the boats if all were filled.

A women and children first policy was used but for some reason many boats weren't filled with men to use their remaining capacity.