Please could someone check my figures ? DB tax free plus more

xylophone

Its a Prudential staff pension

https://prudentialstaffps.co.uk/documents/guides

There is a Guide for the DB Scheme above.

You could read the Guide for info re Calculation pf CETV, deferred pension
revaluation, lump sum/pension/ reduction for early payment etc

xylophone

Have you obtained a state pension forecast?

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

[Deleted User]

xylophone wrote: »

https://prudentialstaffps.co.uk/documents/guides

There is a Guide for the DB Scheme above.

You could read the Guide for info re Calculation pf CETV, deferred pension
revaluation, lump sum/pension/ reduction for early payment etc

You are so lovely ! Thanks ever so much
Off to have a nice long read over a glass of wine or more
Have a good weekend

[Deleted User]

xylophone wrote: »

Have you obtained a state pension forecast?

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

Oh even more help :T thank you
Yes Im at 38 years fully paid up because I started working at 16 at the Prudential and had a decent wage back then but its complicated as I receive a civil service injury pension for life that is tax free, but any public funded pensions or benefits I receive are deducted £ for £ under the rules, so whatever I get will be deducted anyway lol

xylophone

Yes Im at 38 years fully paid up

But you are in the transitional arrangement and have DB pensions which were contracted out.

Is a COPE shown on your forecast? What exactly does it say?

[Deleted User]

Well ! Ive learned more about pensions than I ever knew before !
My plan now is to
1. Ask can I get a bigger lump sum and pay tax on the extra by reducing the monthly pension
2. Ask for a CETV value to see about transferring it, then getting it out from a scheme that allows that ..... looks expensive and rather
3. Just take my lump sum and enjoy the little extra pension as its all too much grief in 2
4. Do nothing and wait a few years between 55-60
5. Wait till Im 60 as it might be more then !

[Deleted User]

It says this on my personal HMRC page
Ive no idea what this means

You can get your State Pension on 13 November 2032. Your forecast is
£168.93 a week
£734.54 a month, £8,814.53 a year

Your forecast
* is not a guarantee and is based on the current law
* is based on your National Insurance record up to 5 April 2019
* does not include any increase due to inflation
£168.93 is the most you can get
You cannot improve your forecast any more.

THEN IT SAYS

Contracted Out Pension Equivalent (COPE)
Your COPE estimate is£42.78 a week.
This will not affect your State Pension forecast. The COPE amount is paid as part of your other pension schemes, not by the government.
In most cases the private pension scheme you were contracted out to:
* will include an amount equal to the COPE amount
* may not individually identify the COPE amount
The total amount of pension paid by your workplace or personal pension schemes will depend on the scheme and on any investment choices.
Find out more about COPE and contracting out (opens in new tab).
Back
Get help
Helpline 0800 731 0181
Textphone 0800 731 0176
Monday to Friday: 8am to 6pm

Albermarle

£168.93 is the most you can get
You cannot improve your forecast any more.

This is the important bit , you can ignore the rest I think .

4. Do nothing and wait a few years between 55-60
5. Wait till Im 60 as it might be more then !

Normally the later you take a DB pension , the more the annual pension is , but this should be clear from the scheme booklet .

Apart from that normally a DB pension increases with inflation each year ( should also be clear from the booklet ) before you take it and after you take it . This is an often underestimated benefit in terms of value.

xylophone

You cannot improve your forecast any more.

is the important line. It indicates a full new state pension at SPA.

You cannot increase it by contributions or credits.

It will be uprated annually under (at the moment) the triple lock.

https://www.gov.uk/new-state-pension/how-its-calculated

The new State Pension increases each year by whichever is the highest:

earnings – the average percentage growth in wages (in Great Britain)
prices – the percentage growth in prices in the UK as measured by the Consumer Prices Index (CPI)
2.5%

[Deleted User]

Although it makes no difference to me. My injury pension is paid till I die and is permanent. The minute my state pension and my civil service normal pension kick in, they all get deducted off the injury pension and those two as well as the Prudential are all taxable - so the longer the state and civil service are not paid, the longer I have most of my personal allowance free. Although I cant work so unless I use it other ways ( pension draw down if I transfer) its of no value at present