NHS pension not enough

SJS5

Hi 
I would really appreciate some advice.

I have  been in the NHS pension scheme since I was 18 , mostly since having family etc part time.
NHS membership is equivalent to 20 years 141 days

I am currently 53 years old.

I stayed in the 1995 scheme and have now been moved over into 2015 scheme.
I come under special  class so can take my pension at age 55 if I choose to.

I was last able to get an up to date pension statement in August 2019 from earnings for financial year ending March 2019. 

Between then and now my work place have been a complete shambles and the financial department did not send over our annual earnings to NHS pensions by the deadline dates in either 2020 for the financial year 2019/2020, or for the financial year 2020/2021.

NHS pensions have therefore been unable to update my pension statement.

My employers have since sent over the figures in July this year so I can expect a statement in December 2021.

In the meantime I was able to request an estimate recently as they now have details of annual salary.

Having received it -- there was a big difference in my last statement  in 2019 to this one.

 I am aware that being in the 1995 pension means they take the best of your last 3 year earnings etc.

However I now find that the previous statement was showing a much higher lump sump and annual pension than my current estimate.

Having contacted NHS pensions it appears that my employers , gave the incorrect information in 2019 ie. an annual salary figure of £44000, which the pension figures were then based on.

For the last 2 years I have been basing my plans on an incorrect pension statement.

NHS pension advised that my current estimated statement is based on pay of  £31000. My salary has not changed in last 4 years.

This now means I have a considerably lower lump sum of around £24 ,000 ( prev around £38,000) and a possible monthly income of around £670/month ..which I cannot live off.

I really had plans to take my 1995 pension at 55 and then work for maybe 3 years .

I feel now I am going to have to work until I am  67years.

I still have a mortgage and would have paid off a lot of it with the original lump sum.

My concerns are
a) the incorrect figure sent in by my employers in 2019 
b) due to there then being a delay for last 2 financial years in sending in updated information I  have not been alerted to the initial error and have not had opportunity to address this by working extra hours maybe.
c) What options do I have to increase my pension. I  don't think I can  add to 1995 pot now  and 2015 scheme does not  allow me to take the pension at 55 without a huge reduction.
d) who are the best financial advisors for NHS Pensions

sorry for the long tale
I really don't know what to do for the best

Flugelhorn

tell me about it - mine predicted pension randomly changed many times (up and down) - you have to work it out yourself / get some help from union and make sure that they take notice of the figures.

I once had zero hours contract with a daily rate, "a day" was supposed to be 7 hours so the whole time salary was based on an hourly  rate of pay of £x/7  ... fine so the NHSBSA got the amount I was paid, decided I worked a 14 hour day and hence halved the annual salary. 

xylophone

https://forums.moneysavingexpert.com/discussion/comment/78669121/#Comment_78669121

and posts following.

Dazed_and_C0nfused

c) What options do I have to increase my pension. I  don't think I can  add to 1995 pot now  and 2015 scheme does not  allow me to take the pension at 55 without a huge reduction.

There is no "pot" with the normal NHS pensions, they are defined benefit schemes where the pension is set by the scheme rules, not how much you contribute or any investment return.

If you choose to take the 2015 pension early you get a reduced amount to reflect the fact that the NHS will be paying it for more years.

Have you factored in the McCloud judgement?

SJS5

Have you factored in the McCloud judgement?

yes I have discussed this with NHS pensions

they could not give me any detailed advice as they said they are not sure yet how your pension in the 2015 scheme will be transferred back over to 1995 if that's the choice you make.
They are not expecting any of us affected by it to have any information on that until November 2023!

Thrugelmir

SJS5 said:

I was last able to get an up to date pension statement in August 2019 from earnings for financial year ending March 2019. 

The annual statement clearly shows your annual salary. Did you not notice the discrepancy when you reviewed this statement? 

SJS5

at the time they advised that figure was full time equivalent and correct

Nebulous2

SJS5 said:

at the time they advised that figure was full time equivalent and correct

And was it? 

It will be fairly simple to work it out from your hourly rate.  £.... x 37.5 x 52. 

Flugelhorn

as above  - check what your wte salary is. They got mine sorted out when it was made clear that they had the wrong figures

peter3hg

What is your contacted hours?
What band are you?

The pension calculation should be based on the whole time equivalent salary, not your pro-rata salary if part time.

SJS5

Nebulous2 said:

SJS5 said:

at the time they advised that figure was full time equivalent and correct

And was it? 

It will be fairly simple to work it out from your hourly rate.  £.... x 37.5 x 52. 

HI

I have looked back at the figures and yes the figure in 2019 was correct as a full time equivalent

it seems the figure NHS pensions are now using my actual annual salary.

My full time equivalent for 2020/21 comes out at the same pay as the 2019 amount.so am I right in thinking that NHS pensions have got it wrong for this current statement.?