Confused

Fozzee

Hi there

I don't understand pensions.

I am 36

I paid into a final salary scheme for 6 years between 97-2003.
I believe that means I will get 6/60ths of my final salary when i left that company index linked.
Now the question is while paying into this scheme i opted out of serps.
Now i've no idea what that means and does it affect my state pension?

Should i transfer this pension and start up a new one?
Or is it safe?

I really don't get all this. Any advice would be appreciated.

Thanks John

david78

You won't have built up any S2P (formerly SERPS) pension for the 6 years you were in the final salary scheme. You will have been opted back into S2P automatically at the point you left. (but you could have since opted out again). This doesn't effect your basic state pension but will reduce the S2P pension you will get.

You probably shouldn't transfer the pension. Just leave it where it is and it will grow with RPI. Its safer than if you were still an employee with the company as you have special rights to use of the fund as a "deferred" member of the scheme.

You can start up a new pension whenever you like.