Bakkavor Pension Scheme

cc74

DH paid into the pension scheme at his old firm from 1996 to 2000. He does not remember how much but said it was a fair bit and the firm also matched what you paid in.  DH hasn't paid any attention to it since then. However the programme last week Martin did, got him to look at it. It worked out he would get £9 a week at retirement age. It seems very low, however as neither of us are experts, we wondered what you guys thought? Thank you. 

Dazed_and_C0nfused

Was he contributing to a DB or DC scheme?

If DB it seems unfeasibly low.

If DC and he hasn't managed his investment choices that might be the issue.  Or it could be very pessimistic estimates of what any fund might purchase as an annuity.  Which in itself is becoming an evermore niche option.

xylophone

Bakkavor Group appears to have offered a DB Scheme (now closed).

Was your husband a member of the DB scheme?

 If so, was he given a statement of deferred benefits when he left?

Does he have a copy of the Scheme Guide?

What does it say about revaluation in deferment?

Has he obtained a state pension forecast?

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

Albermarle

Probably it was £9 a week when he left in 2000 and will have been increased by inflation /or close to inflation since . As Xylophone says you need to do some digging .

Marcon

Dazed_and_C0nfused said:

Was he contributing to a DB or DC scheme?

If DB it seems unfeasibly low.

If DC and he hasn't managed his investment choices that might be the issue.  Or it could be very pessimistic estimates of what any fund might purchase as an annuity.  Which in itself is becoming an evermore niche option.

If the company matched his contributions, then it sounds like a DC scheme. Alternatively, could it be an AVC attached to the main DB scheme?

Without knowing hold old OP's husband is, how much he earned while employed there, and where he chose to invest his funds, it's impossible to know how reasonable that £9 a week looks. If OP could post more information - perhaps a copy of whatever estimate/statement he has received (with all identifiers such as NI number removed) that would help?

Thrugelmir

cc74 said:

DH paid into the pension scheme at his old firm from 1996 to 2000. He does not remember how much but said it was a fair bit and the firm also matched what you paid in.  DH hasn't paid any attention to it since then. However the programme last week Martin did, got him to look at it. It worked out he would get £9 a week at retirement age. It seems very low, however as neither of us are experts, we wondered what you guys thought? Thank you. 

People earnt a lot less back then. £470 a year for life for less than 4 years contributions doesn't sound terrible. Since then he's had 22 years to contribute to other pension schemes. Which needs to be taken into account when looking at the bigger picture. 

Marcon

Thrugelmir said:

cc74 said:

DH paid into the pension scheme at his old firm from 1996 to 2000. He does not remember how much but said it was a fair bit and the firm also matched what you paid in.  DH hasn't paid any attention to it since then. However the programme last week Martin did, got him to look at it. It worked out he would get £9 a week at retirement age. It seems very low, however as neither of us are experts, we wondered what you guys thought? Thank you. 

People earnt a lot less back then. £470 a year for life for less than 4 years contributions doesn't sound terrible. Since then he's had 22 years to contribute to other pension schemes. Which needs to be taken into account when looking at the bigger picture. 

If he was in a 1/60th scheme, and earning around £7,000 a year at the time he left, then the sums add up - but £7K is pretty low for 1999/2000 (just above the prevailing minimum wage). Possible he didn't join the scheme immediately, so could be he had four years of employment but rather less time in the pension scheme?

Impossible to know until OP comes back with more info.

cc74

hello, thanks for the responses. He is at work at the moment, so I will get him to answer these when back. (Luckily he does have state pension), we were just checking out this one. Thanks

xylophone

(Luckily he does have state pension), 

Has he obtained a state pension forecast?

Is he now contributing to a pension?

https://forums.moneysavingexpert.com/discussion/comment/78249603#Comment_78249603

Thrugelmir

Marcon said:

Thrugelmir said:

cc74 said:

DH paid into the pension scheme at his old firm from 1996 to 2000. He does not remember how much but said it was a fair bit and the firm also matched what you paid in.  DH hasn't paid any attention to it since then. However the programme last week Martin did, got him to look at it. It worked out he would get £9 a week at retirement age. It seems very low, however as neither of us are experts, we wondered what you guys thought? Thank you. 

People earnt a lot less back then. £470 a year for life for less than 4 years contributions doesn't sound terrible. Since then he's had 22 years to contribute to other pension schemes. Which needs to be taken into account when looking at the bigger picture. 

If he was in a 1/60th scheme, and earning around £7,000 a year at the time he left, then the sums add up - but £7K is pretty low for 1999/2000 (just above the prevailing minimum wage). Possible he didn't join the scheme immediately, so could be he had four years of employment but rather less time in the pension scheme?

Impossible to know until OP comes back with more info.

Wasn't unknown back then to be an employee for two years before being invited to join the company DB scheme. 

cc74

hello, this is the information we got from the website.
Category A from late 1999
Preserved Pensioner

Sadly no idea really what any of this means. Thank you