Pension Options - Advice Required Please

atush

I agree yu need to consult your OH onn this. And getting prt time work- hopefully something you enjoy- might be best.

Will help with both your finances, and your OH's peace of mind?

I was going to post on your OP but coryls said pretty much what I was going to. Retiring at 55 may be doable, but at 53 your numbers look too tight.

In the mean time, take some sick leave? Go to your GP and tell them how the stress of this job is affecting your health.

Rich20001

The starting amount quoted (i.e. from my 67th birthday) is £158.14 per week.
A COPE value estimate of of £32.64 is also quoted - although I believe from reading other threads that this will be 'wrapped up' in my employers pension payments?
I have 37 continuous qualifying years to date.

xylophone

Re "starting amount"

https://www.gov.uk/new-state-pension/how-its-calculated

Your "starting amount" is as at 6/4/16.

https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/447195/new-state-pension--effect-of-being-contracted-out.pdf ( but for BSP read £119.30 and for NSP £155.65.

https://pensionslatest.blog.gov.uk/2015/10/15/what-happens-when-the-new-state-pension-starts-in-april-2016/

Rich20001

Thanks 'Kynthia' and 'atush' for your helpful comments and suggestions of additional things I need to consider - much appreciated.
There are so many things to consider and I want to ensure that I do the right thing for our particular circumstances.

kidmugsy

Another thing worth doing might be to get a quote from your FS scheme if you were to draw it from age 55. (i) Would they allow that? (ii) If so, what would the Actuarial Reduction be?

If the AR were, say, 2.5% for each year early, it might be worth considering. If it were 6% it wouldn't.

P.S Gunlock's point about ill-health retirement is good but if there is a possibility of that be sure to check what would happen if it were granted and then you went to work elsewhere.


But the big deal is the one you identified: to take the FS pension or to transfer out. if you are a fretter by nature it might be wise to sit tight, though it must be admitted that the CETV offered is pretty good.

For what it's worth, I suggest that at only 53, with a 45 year old wife, it might be wise to carry on working, perhaps part time, at something you think you might enjoy.

Rich20001

Thanks 'kigmugsy' - once again you raise some excellent points for me to consider.

I will certainly look into the potential option to draw my pension from age 55, but I suspect that if it is possible the resultant reduction in pension payable will be quite severe.

Agreed, 'GunJack's' suggestion of checking if retiring early on the grounds of ill health is possible is good, but having briefly discussed this with Occupational Health, I was left with the impression that you have to be virtually 'at deaths door' (which fortunately I am not!) for this to be considered.

Your remaining points are also spot on; I am somewhat of a fretter by nature - so, whilst I am obviously very keen on the idea of maximising the potential of the FS pension, as well as all the other considerations surrounding this I would also need to consider the stress impacts of moving it and monitoring it's inevitable fluctuations in value.

Regarding the part time job suggestion, I tend to agree that this is probably the best route to take - your key point for me is the 'something that I enjoy' bit. I have spent my entire working life in banking and my confidence has taken a bit of a hit over the last year - so I need to consider carefully what I could adapt my skills to and turn that to something I would enjoy doing.

GunJack

kidmugsy wrote: »

P.S Gunlock's point about

..and who is this "Gunlock" of whom you speak?? :rotfl:


...if I ever need an alias....

kidmugsy

GunJack wrote: »

..and who is this "Gunlock" of whom you speak??

In the finest tradition of the internet, I blame the software. Moreover, it's true. Try it!

mgdavid

Rich20001 wrote: »

........I have spent my entire working life in banking and my confidence has taken a bit of a hit over the last year - so I need to consider carefully what I could adapt my skills to and turn that to something I would enjoy doing.

Consider bursar/finance bod at a private school; a pal of mine did this for his semi-retirement few years and enjoyed it.