shall I go for promotion to boost final salary pension

Kynthia

[Deleted User] wrote:

Can someone help me out? If the op is 56 in 8 years time that make him/her 48 now - born in 1969. Surely they are NOW in the 2015 scheme as too young to remain in the 1995 scheme or to receive tapered protection.? If so. how does final salary come into it?

I thought that I understood this as I deal with HSC pensions every day - clearly not!

If it's like the civil service scheme there is still the portion of final salary pension up until the date they moved into the CARE scheme. This service still has a link to your salary when you leave employment or opt out. So getting promoted in your last few years will only increase the CARE scheme for those years, but will increase the calculation for the whole final salary portion.

jerrysimon

I was in the classic scheme when I retired at 56 early this year. Try as I could in the last few years I failed to get promotion, however I did manage to get an SRA (senior responsibility allowance) of 2K thus adding another 1K onto my pension albeit reduced because I retired 3 & 1/2 years early and chose to take my pension early.

I guess I could have got promotion if I was prepared to commute elsewhere, but certain things like quality of life and stress level just aren't worth it.

Muscle750

As a matter of interest you retired 3.5 years early exactly how much pension did you loose? Plus if im reading this correct you had a allowance of £2k yet this added another £1k to your pension for life. This alone only displays the horrific differences between public sector and private sector pensions,

GunJack

Muscle750 wrote: »

As a matter of interest you retired 3.5 years early exactly how much pension did you loose? Plus if im reading this correct you had a allowance of £2k yet this added another £1k to your pension for life. This alone only displays the horrific differences between public sector and private sector pensions,

read it again, £1k reduced by early retirement factors, so for 3.5 years early, that £1k would be reduced by about 17.5%. 40 yrs service would be 40/80ths pension..not horrific at all, lower salary to pay for pension...

stoozie1

[Deleted User] wrote:

Can someone help me out? If the op is 56 in 8 years time that make him/her 48 now - born in 1969. Surely they are NOW in the 2015 scheme as too young to remain in the 1995 scheme or to receive tapered protection.? If so. how does final salary come into it?

I thought that I understood this as I deal with HSC pensions every day - clearly not!

NHSBSA uses the following worked example which may help:

The following examples illustrate how this works:
(1) Danny joined the 1995/2008 Scheme in 2005, so he was in the 1995 Section for 10
years before moving to the 2015 Scheme. He has no breaks in his membership of five or
more years and retires at age 60 in 2030.
Danny’s Preserved Rights for benefits for the period 2005 to 2015 are calculated in
accordance with the rules of the 1995 Section and based on his ‘Final Year’s Pensionable
Pay’ as at his retirement in 2030 (pensionable pay in the final twelve months or in either of
the two preceding years if higher).
Danny’s benefits for the period 2015 to 2030 are calculated in accordance with the rules of
the 2015 Scheme.

Muscle750

GunJack wrote: »

read it again, £1k reduced by early retirement factors, so for 3.5 years early, that £1k would be reduced by about 17.5%. 40 yrs service would be 40/80ths pension..not horrific at all, lower salary to pay for pension...

How do you arrive at the statement "lower salary to pay for pensions" more like the tax payer to pay for and support the generous Public sector pensions.

greenglide

But the public sector pensions are almost all Care schemes these days and salary increases don't have the same impact on pensions.

Why didn't you have a tirade against the closure of private DB schemes rather than the race to the bottom you seem to want.

If all the public sector schemes were closed today, you would be no better off.

jerrysimon

Muscle750 wrote: »

As a matter of interest you retired 3.5 years early exactly how much pension did you loose? Plus if im reading this correct you had a allowance of £2k yet this added another £1k to your pension for life. This alone only displays the horrific differences between public sector and private sector pensions,

Well horrific or not I got it :T

Worked in shipbuilding and then moved to IT for last 25 years of my carear. I could have earned a fortune if I had chosen the PS, but I stuck it out for the pension


My Pension would have been worth 21K at 60 I ended up with 17.5K plus a 54K lump sum. My wife is still doing part time work so our income is about £1600/month. No longer pay NI or Pension payments

She has a 3K pension and 10K lump sum if she waits till 60 though I doubt she will. We will get another 11K+ between us from state pension if its still going then.

Muscle750

http://www.telegraph.co.uk/pensions-retirement/financial-planning/pensions-apartheid-how-public-and-private-systems-compare/

Meanwhile i shall carry on working 50 hours plus a week inc weekends in all weathers so to help fund your pensions for another 10 years im same age as you and by the way for someone in IT for 25 years plus keeping the country afloat its Career not Carear. Maybe one could enlighten us to how much contribution your employer was contributing to your fund as a percentage id imagine its a dam sight more than the miserly 5% mine does

AlanP_2

Muscle750 wrote: »

http://www.telegraph.co.uk/pensions-retirement/financial-planning/pensions-apartheid-how-public-and-private-systems-compare/

Meanwhile i shall carry on working 50 hours plus a week inc weekends in all weathers so to help fund your pensions for another 10 years im same age as you and by the way for someone in IT for 25 years plus keeping the country afloat its Career not Carear. Maybe one could enlighten us to how much contribution your employer was contributing to your fund as a percentage id imagine its a dam sight more than the miserly 5% mine does

If you don't like your current reward package and don't feel it is enough for the work you do and the hours you put in why not do what many of us have done and change sectors or at least jobs?

Out of interest what do you do and how does your package compare to the same / similar public sector job?