DB, short service, what to do with it?

MovingForwards

Thanks @Marcon I'm trying to work out what may be available as I work my notice, it's the first DB I've ever had.   

I also appreciate you confirming about Nest. I left that one when transferring a few into my SIPP as I assumed at some point before retirement I would be back in it and if not it'll be used as one of my 'small pots'.

@hyubh it's been clarified as I added some of the wording from the scheme, I had misread it.

@jimi_man public sector and defined benefit eg guaranteed amount of pension on retirement increases with each year of service (the much coveted gold plated pension).

Marcon

MovingForwards said:

Thanks @Marcon I'm trying to work out what may be available as I work my notice, it's the first DB I've ever had.   

You've got over 2 years of scheme membership so are entitled to a deferred pension. That means there's no rush to take any decisions - you have another 20 or so years to decide what, if anything, you'd like to do with your DB pension.

jimi_man

MovingForwards said:

Thanks @Marcon I'm trying to work out what may be available as I work my notice, it's the first DB I've ever had.   

I also appreciate you confirming about Nest. I left that one when transferring a few into my SIPP as I assumed at some point before retirement I would be back in it and if not it'll be used as one of my 'small pots'.

@hyubh it's been clarified as I added some of the wording from the scheme, I had misread it.

@jimi_man public sector and defined benefit eg guaranteed amount of pension on retirement increases with each year of service (the much coveted gold plated pension).

Ah ok, thanks. I didn’t think you could transfer public sector pensions, or have I got the wrong end of the stick ? 

Marcon

jimi_man said:

MovingForwards said:

Thanks @Marcon I'm trying to work out what may be available as I work my notice, it's the first DB I've ever had.   

I also appreciate you confirming about Nest. I left that one when transferring a few into my SIPP as I assumed at some point before retirement I would be back in it and if not it'll be used as one of my 'small pots'.

@hyubh it's been clarified as I added some of the wording from the scheme, I had misread it.

@jimi_man public sector and defined benefit eg guaranteed amount of pension on retirement increases with each year of service (the much coveted gold plated pension).

Ah ok, thanks. I didn’t think you could transfer public sector pensions, or have I got the wrong end of the stick ? 

Depends if it's a funded scheme (such as the LGPS), which does permit transfers to DB or DC schemes; or an 'unfunded' one (e.g. NHS, which only permits transfers to another DB scheme). Which scheme are you in?

jimi_man

Marcon said:

jimi_man said:

MovingForwards said:

Thanks @Marcon I'm trying to work out what may be available as I work my notice, it's the first DB I've ever had.   

I also appreciate you confirming about Nest. I left that one when transferring a few into my SIPP as I assumed at some point before retirement I would be back in it and if not it'll be used as one of my 'small pots'.

@hyubh it's been clarified as I added some of the wording from the scheme, I had misread it.

@jimi_man public sector and defined benefit eg guaranteed amount of pension on retirement increases with each year of service (the much coveted gold plated pension).

Ah ok, thanks. I didn’t think you could transfer public sector pensions, or have I got the wrong end of the stick ? 

Depends if it's a funded scheme (such as the LGPS), which does permit transfers to DB or DC schemes; or an 'unfunded' one (e.g. NHS, which only permits transfers to another DB scheme). Which scheme are you in?

Is that aimed at me? I know I can’t transfer mine, and wouldn’t want to. I was referring the OP. I don’t know what scheme the OP is in, he hasn’t said. But unless it’s the LGPS I would thought he’d be stuffed. 

MovingForwards

I'm not in either of those and the scheme document does say it can be transferred out after leaving.

If it's over £30k I knew I'd be stuffed, as it's been pointed out I might be stuffed if it's under that, but will hopefully know next month and can ask more questions then, if needed.

All I'm doing is working out what may be possible with a potentially small DB pot, instead of asking the question when I've left.

Silvertabby

All vested public sector pension schemes can be transferred out - it's just that, with the execption of the LGPS, they can only be transferred to another DB scheme.  

jimi_man

Silvertabby said:

All vested public sector pension schemes can be transferred out - it's just that, with the execption of the LGPS, they can only be transferred to another DB scheme.  

Right. But it seems to be unclear which scheme the OP was in. If it’s a public sector and it’s not the LGPS then the only other one I know of is the USS scheme which can be transferred to a private scheme. 

Marcon

Silvertabby said:

All vested public sector pension schemes can be transferred out - it's just that, with the execption of the LGPS, they can only be transferred to another DB scheme.  

The PCPF allows transfers out to DC schemes, but doesn't sound as if OP is an MP!

MovingForwards

Marcon said:

Silvertabby said:

All vested public sector pension schemes can be transferred out - it's just that, with the execption of the LGPS, they can only be transferred to another DB scheme.  

The PCPF allows transfers out to DC schemes, but doesn't sound as if OP is an MP!

I'd be the only one on a 'normal' wage if I was!