Personal pension vs AVC contributions

Gin_and_Milk

If you're 31 isn't your retirement age 68? I'm 44 with an LGPS and finish at 67. I've also debated paying into the AVC scheme as I would like to finish at 60 (by the latest). There used to be a forecast calculator on the Pru website to give you an indication of how much you might receive, but I can't for the life of me find it now!
Good luck with your retirement plans, I haven't got a clue where to start, and I'm sorry if I've spoilt your day about the retirement age.

Happier_Me

Yes, we need Silvertabby... I can't find the link to the lump sum calculator either!

I will be paying into the LGPS AVC scheme in the next couple of months. The main advantage I see is using the AVC pot to increase the tax free lump sum, but you can only take this as a lump sum when you access your main LGPS. I'm planning to access my pension at 60, when 12 years of my final salary pension will be protected under the 85 rule but at your age you may not have much, if any, protection, so this option may not be as beneficial to you?!

The other possible benefit is that some local authorities offer AVC as a salary sacrifice which saves NI contribution as well as tax.

You really need to understand the various options available with the AVC route and decide which of these may be of use to you in the future. I don't think the charges are outrageous compared to other alternatives but the fund options are limited with the Prudential... I'm by no means an expert though so I am okay with the funds on offer.