need some to explain something to me please

enthusiasticsaver

As you are retiring later than your normal retirement date you should get an enhanced (basically higher) pension both in your teachers pension and state pension if you are not already getting that.

I am not 100% sure of the term uplift with regards to your scheme but my DH has accepted an uplift in his by accepting lower inflationary increases on part of his private pension. He is not in the teachers scheme though so that may mean something entirely different.

Certainly the enhancement is usually good as this suggests no downside. The uplift probably means a higher pension initially but it may not increase each year annually as it would have done had you not taken it so your projected life expectancy comes into play here.

I would proceed by getting quotes from your scheme as each scheme is different so without knowing the figures and the rules for you accepting the enhancement/uplift it is difficult to say.

xylophone

If you type Teachers Pension Scheme Late Retirement uplift into Google you can pick up a PDF with detailed guidance from the Government Actuary.

It says (inter alia)
A member may have benefits in both the final salary sections and the career average section. For the purposes of calculating a member’s late retirement pension the member’s final salary late retirement pension and career average section late retirement pension should be calculated separately using the relevant parts of this guidance and the separate guidance covering late retirement in the career average section.

An uplift is applied to 2007 or later entrants’ (NPA 65 members) pensions when retiring from active service after age 65 in accordance with Regulation 61. A similar uplift applies to the NPA 65 pension of persons with mixed service. No uplift is applied to any Additional Pension, pre-2007 entrants’ benefits, NPA 60 pension of persons with mixed service or for any retirements from deferred status (although a late retirement uplift is applied to any annual allowance.

There is also
https://www.teacherspensions.co.uk/-/media/documents/employer/guides/accessing-benefits/conditions-for-accessing-benefits-in-the-tps--v103--13122017.ashx

A late retirement enhancement is applied to members who remain in pensionable service after their NPA in the NPA65 section of the Final Salary arrangement or after their NPA in the 2015 Career Average arrangement, but only to those benefits accrued up to the date of the relevant NPA.



If you need advice specific to your situation after you have asked for detailed figures and calculations from the Administrator of the Scheme, you could consult an Independent Financial Adviser.

https://adviserbook.co.uk/

You would tick "confirmed independent" and such other specialisms as are required.

zagubov

If you do apply for a pension with a tax-free lump sum, you will be offered the option of increasing it by decreasing your future monthly pension. Every increase of £12 in the lump sum takes a £1 off your pension.

Retiring early might make that an unattractive offer, but retiring late might make it more attractive. Having health issues or wanting to pass money on to older children might be things to think about. On the other hand, needing long-term care might make need thought as well, as what you think of as looking after your kids might be seen as deprivation of assets.

Think about this carefully because once you apply and choose the size of lump sum, you cannot change your mind.

I'm starting to wonder, reading these sources, that being in a teachers final salary pension, working past retirement age while still paying into that pension might not improve that pension as much as we might think.

xylophone

https://forums.moneysavingexpert.com/discussion/comment/75879930#Comment_75879930

I thought this thread had a familiar ring.

If the posters are the same, then "phased retirement" also seems in play.

goldenoldie12

hi anyone have any more ideas please

BobQ

BobQ wrote: »

It is not a forum to be rude but neither can it guarantee an answer. The information above it more precise. Uplift is explained in here:

https://www.teacherspensions.co.uk/~/media/Documents/Member/Documents/Factors/Retirement/TPS%20Late%20Retirement%20Factor%20Guidance%20FS%20Section%201%20April%202015.ashx

I am not 100% sure but I suspect that "enhancement" might refer to unearned increases such as in the case of medical retirements where the increase is not related directly to contributions.

goldenoldie12 wrote: »

BobQ thanks for your response , for some reason your post only shos 3/4 of each sentence could you post it again please .I am not looking for a guaranteed answer , just looking at what the diff is between uplift and enhancement in context with late retirement in the teachers pension .
I am retiring and a widow some no one will reason a pension when i pass , i asked for advise on this from the TEACHER PANSION about accessing more of my funds as i am a single widow , they said they can not give me adise but said probably get independant advise . Does anyone think i could access more of my funds eary bcause i am 72 just retiring and single widow with no pension to pass on when i am gone.

Reposted as requested.

It is very difficult to access more of a DB pension unless you are about to die soon. With a Defined Contribution Scheme you have that option but the attraction of a DB scheme is you know exactly what you get. Converting to a DC scheme is difficult (particularly for a public sector one). You can probably get a bigger lump sum and less pension but that may not be wise.

jimi_man

xylophone wrote: »

There is no "pot" in a DB Scheme - a DB pension is in essence a "promise to pay" the benefits for which a member has qualified during his time in the scheme.

The benefits will be paid for life/for the life of a widow/er - there is no "pot' to run out, as it were.

Yes I know. I did put 'pot' in inverted commas to show that it wasn't actually a pot as such.

xylophone

It is very difficult to access more of a DB pension unless you are about to die soon. With a Defined Contribution Scheme you have that option but the attraction of a DB scheme is you know exactly what you get. Converting to a DC scheme is difficult (particularly for a public sector one). You can probably get a bigger lump sum and less pension but that may not be wise.

The OP cannot transfer out of TPS to a DC Scheme.

If the OP is the same poster as in a previous thread, part of the pension is already in payment under phased retirement.

If not, and the pension has not been drawn, (or she wants to take the balance of the benefits) then she needs to contact the Administrator of TPS at least four months before she wants to do so in order to bring them into payment.

If she has queries as to the calculation then she needs to contact the Administrator in writing with those queries to get an appropriate response.

The OP has already been referred to documents which appear to explain where "uplift" and "enhancement" are applied - I do not see that there is much more that anybody on the board can do to explain further?