Sainsbury Pension

aayush

Hi
A family Member used to work for Sainsbury and contact them to take the lump sum from his pension and was told he could but they have now also started to pay him his pension which not want til 65 but the say not allowed one without the other but he is sure he was advised at the time when he took it he could ?

What can he do ? as he still has 10 years left to work till pension date

JoeCrystal

aayush wrote: »

Hi
A family Member used to work for Sainsbury and contact them to take the lump sum from his pension and was told he could but they have now also started to pay him his pension which not want til 65 but the say not allowed one without the other but he is sure he was advised at the time when he took it he could ?

What can he do ? as he still has 10 years left to work till pension date

Wait until he decides to take the pension as well or accept the reduced pension scheme with the reduced lump sum. No way getting around that, I am afraid.

molerat

With a defined benefit pension it is (generally) all or nothing.

Dox

If this is a defined benefit scheme, it is very unlikely the scheme rules permit him to take the lump sum and delay the actual pension coming into payment. Unless he has something in writing to the contrary, the scheme will argue (possibly correctly) that he simply misunderstood. Suggest he asks them for a copy of the form he will have signed providing bank details, acceptance of lump sum etc to see what that says.

xylophone

This will be the old DB Scheme? A relative of mine was a member of this.

I went along to the pre retirement seminar and the only choice was how much lump sum as against monthly pension.

The pension is now in payment and that is that?

lexington013

I'm a deferred member and yes, looks like he has taken commutation to receive the lump sum and a reduced pension as its payable at 65 (although some execs and Store Managers could take at 60 depending on joining date).
My actuarial reduction for 10 years early is 45%........quite a hefty penalty to take early in my mind......