Taking a break from NHS pension to save more for house deposit?

Legacy_user

Hi,
Have been saving hard for a house deposit, and think I should be ready to go in 2020 - I am wondering whether I should take a break from my NHS pension payments for the next 18 months in order to be able to build this pot by a further £5000?
I would then look to rejoin the scheme (currently been paying in for 8 years).
Any advice would be appreciated,
Thanks

xylophone

And lose the employer's contribution and the other benefits of your pension scheme?

Tighten your belt and find savings elsewhere.

Silvertabby

As xylophone says.

McKneff

Don't be daft....

Alice_Holt

As xylophone says.
+ 1.

Calculate the loss in pension income.
Then reconsider based on the financial facts

Stubod

NO NO NO NO NO NO NO NO NO NO NO NO NO NO NO NO ...etc.....

AnotherJoe

Hopefully you are better with medical decisions than financial?
Wait a year and the house you want to buy will probably have dropped £5k anyway.

System

Yes I'm trying to educate myself...hence asking for help. Not looking for a barrage of abuse. Maybe I'll respond this way next time someone asks me a medical question on ICU.

Paul_Herring

£5,000 over 18 months is ~£280 per month, ~£64/week, ~£9/day.

Is there nothing you can cut back on to get that? It would be more advantageous to you (since you will still accrue a pension over that time,) and in doing that exercise may find you can actually save more.

Another disadvantage of 'stopping your pension for only 18 months' will be finding excuses in month 19 as to why you can't/don't want to start it back up again.

TcpnT

Not looking for a barrage of abuse.

I think you're being a little over sensitive here. That was not abuse - just mild exasperation at the suggestion which suggests that you have little understanding of the guaranteed future value that those pension contributions will bring for relatively little cost to yourself today.

Pension_Geek

sc87 wrote: »

Yes I'm trying to educate myself...hence asking for help. Not looking for a barrage of abuse. Maybe I'll respond this way next time someone asks me a medical question on ICU.

The money you put into your pension in the NHS buys you significantly more than what you could get in terms of fixed income in retirement in the open market. Therefore, stopping that payment for any reason is to be greatly discouraged. If you are a Dr, and likely to be a consultant at some point in your career, then buying added years probably wont be a possibility as you will breach your annual allowance by doing so (or might anyway) which will result in a tax charge.

Te best thing to do in this situation is to wait.