Db scheme help

Wakco

Hi everyone any help would be appreciated, I am sorting out my retirement and have got a small deferred (closed) DB pension. And was thinking how much is it worth I will get the full new state pension when I retire and have a couple of DC schemes. So I ask for a transfer value and it came back with a value of £34,000 and annual income of £1,840. The scheme COSR with normal retirement age 65 with a fixed rate GMP revaluation basics and the guaranteed revaluation on non-GMP benefits is earned before 1 may 2009 the lesser of 5% per annum compound for each complete year of deferment and increase in RPI published month prior to leaving to month prior to retirement. After that 2.5% up to when scheme closed 2011 subject to statutory requirements with spouse pension and money payable if I die before retirement . My question is this a good transfer value ? and how does annum compound work thanks in advance for any help

xylophone

When did you leave the scheme?

What is your pre 88 GMP/post 88 GMP and excess?

How old are you now?

When your pension comes into payment your scheme has no obligation to index link any pre 88 GMP or any post 88 GMP above 3%.

https://www.barnett-waddingham.co.uk/comment-insight/blog/2014/08/18/what-is-a-gmp/

If you wish to transfer out, you will need (and have to pay for), the advice of a Pension Transfer Specialist.


https://www.moneyadviceservice.org.uk/en/articles/transferring-out-of-a-defined-benefit-pension-scheme

Wakco

In scheme from 2002 till 2011 and am 42 and it does say that when I take it the rate of increase will be up to 3%. And I will keep it has part of a balance pension portfolio (base) with the state pension I am try to get a better understanding so I can at least ask the right questions thanks for all advice in advance :rotfl:

xylophone

In scheme from 2002 till 2011

In which case there is no GMP - your scheme would have had to satisfy the Reference Scheme Test.

http://www.hoganlovellsukpensions360.com/_uploads/Briefing_Notes/DBcontractingoutbooklet.pdf

https://www.barnett-waddingham.co.uk/comment-insight/blog/2012/07/24/revaluation-for-early-leavers/

Have you obtained a new state pension statement?

https://www.gov.uk/check-state-pension