LGPS - Transfer or not?

p00hsticks

MrsCluckyHen said:

Silvertabby said:

Are you sure about those dates?  Post April 2014 the LGPS vesting period ( the length of scheme membership you need to qualify for actual pension benefits) is two years, which you appear to meet.

This would rule out the refund you have offered.  Did you opt out of the pension scheme when you first joined/before you left?  Did you have 2 jobs, with a gap in between? 

I'm sure... I had just started when the first lockdown came along and I just finished last september. 
I didn't opt out of the pension scheme, nor did I have 2 jobs.

As far as I recall the first lockdown was in March 2020, not 2019 ?

Which means you would only have around 18 months service ?

Silvertabby

p00hsticks said:

MrsCluckyHen said:

Silvertabby said:

Are you sure about those dates?  Post April 2014 the LGPS vesting period ( the length of scheme membership you need to qualify for actual pension benefits) is two years, which you appear to meet.

This would rule out the refund you have offered.  Did you opt out of the pension scheme when you first joined/before you left?  Did you have 2 jobs, with a gap in between? 

I'm sure... I had just started when the first lockdown came along and I just finished last september. 
I didn't opt out of the pension scheme, nor did I have 2 jobs.

As far as I recall the first lockdown was in March 2020, not 2019 ?

Which means you would only have around 18 months service ?

Something just isn't adding up.  If you had 2 or more calendar years of service, then you would have been issued with a deferred benefit (pension) statement after you left.

You must have less than 2 years service to have been offered the choice of a refund or a transfer, with quotes for both options.  When you were told that you could leave your benefits with the LGPS the person you spoke to may have thought that you intended to rejoin Local Government, at which point your new post details would have been added to your old records.  If you don't rejoin the LGPS within 5 years of leaving your old job then your contributions (£1K) will be automatically refunded, so by far the best option would be to take the transfer.

However, if you are adamant that you have more than 2 years membership, then something has gone awry with your records. Noting that your LGPS records are only as good as the information supplied to them by your ex employer, speak to your LGPS again and ask them exactly what they have on record as your dates of service.

Lemon_dr1zzle

This doesn’t make sense. If you have more than 2 years you cannot have a refund, it’s against the regulations.
If you have less than 2 years you can ‘keep it with the Fund’ but only for up to 5 years after the date of leaving, this is in case you rejoin the LGPS and your records will be aggregated. After those 5 years you will have to have the refund or the transfer out. 

If you have less than 2 years you would not have met the vesting period and therefore do not have any pension benefits. 

MrsCluckyHen

p00hsticks said:

MrsCluckyHen said:

Silvertabby said:

Are you sure about those dates?  Post April 2014 the LGPS vesting period ( the length of scheme membership you need to qualify for actual pension benefits) is two years, which you appear to meet.

This would rule out the refund you have offered.  Did you opt out of the pension scheme when you first joined/before you left?  Did you have 2 jobs, with a gap in between? 

I'm sure... I had just started when the first lockdown came along and I just finished last september. 
I didn't opt out of the pension scheme, nor did I have 2 jobs.

As far as I recall the first lockdown was in March 2020, not 2019 ?

Which means you would only have around 18 months service ?

You are right!

I'm feeling old now!

Sorry for the confusion.

MrsCluckyHen

Silvertabby said:

p00hsticks said:

MrsCluckyHen said:

Silvertabby said:

Are you sure about those dates?  Post April 2014 the LGPS vesting period ( the length of scheme membership you need to qualify for actual pension benefits) is two years, which you appear to meet.

This would rule out the refund you have offered.  Did you opt out of the pension scheme when you first joined/before you left?  Did you have 2 jobs, with a gap in between? 

I'm sure... I had just started when the first lockdown came along and I just finished last september. 
I didn't opt out of the pension scheme, nor did I have 2 jobs.

As far as I recall the first lockdown was in March 2020, not 2019 ?

Which means you would only have around 18 months service ?

Something just isn't adding up.  If you had 2 or more calendar years of service, then you would have been issued with a deferred benefit (pension) statement after you left.

You must have less than 2 years service to have been offered the choice of a refund or a transfer, with quotes for both options.  When you were told that you could leave your benefits with the LGPS the person you spoke to may have thought that you intended to rejoin Local Government, at which point your new post details would have been added to your old records.  If you don't rejoin the LGPS within 5 years of leaving your old job then your contributions (£1K) will be automatically refunded, so by far the best option would be to take the transfer.

However, if you are adamant that you have more than 2 years membership, then something has gone awry with your records. Noting that your LGPS records are only as good as the information supplied to them by your ex employer, speak to your LGPS again and ask them exactly what they have on record as your dates of service.

Sorry for the confusion... as above... I got my dates wrong... I started in March 2020
I'm feeling old now

So as @p00hsticks mentions, I had been in the job for 18 months

So I'm not entitled to pension benefits I guess?

MrsCluckyHen

Lemon_dr1zzle said:

This doesn’t make sense. If you have more than 2 years you cannot have a refund, it’s against the regulations.
If you have less than 2 years you can ‘keep it with the Fund’ but only for up to 5 years after the date of leaving, this is in case you rejoin the LGPS and your records will be aggregated. After those 5 years you will have to have the refund or the transfer out. 

If you have less than 2 years you would not have met the vesting period and therefore do not have any pension benefits. 

Thanks for this

 So I can't keep it there indefinitely?

I may transfer it now then after all, since it won't keep the benefits and it will just be sitting there
best to bulk up my new pension?

Silvertabby

MrsCluckyHen said:

Silvertabby said:

p00hsticks said:

MrsCluckyHen said:

Silvertabby said:

Are you sure about those dates?  Post April 2014 the LGPS vesting period ( the length of scheme membership you need to qualify for actual pension benefits) is two years, which you appear to meet.

This would rule out the refund you have offered.  Did you opt out of the pension scheme when you first joined/before you left?  Did you have 2 jobs, with a gap in between? 

I'm sure... I had just started when the first lockdown came along and I just finished last september. 
I didn't opt out of the pension scheme, nor did I have 2 jobs.

As far as I recall the first lockdown was in March 2020, not 2019 ?

Which means you would only have around 18 months service ?

Something just isn't adding up.  If you had 2 or more calendar years of service, then you would have been issued with a deferred benefit (pension) statement after you left.

You must have less than 2 years service to have been offered the choice of a refund or a transfer, with quotes for both options.  When you were told that you could leave your benefits with the LGPS the person you spoke to may have thought that you intended to rejoin Local Government, at which point your new post details would have been added to your old records.  If you don't rejoin the LGPS within 5 years of leaving your old job then your contributions (£1K) will be automatically refunded, so by far the best option would be to take the transfer.

However, if you are adamant that you have more than 2 years membership, then something has gone awry with your records. Noting that your LGPS records are only as good as the information supplied to them by your ex employer, speak to your LGPS again and ask them exactly what they have on record as your dates of service.

Sorry for the confusion... as above... I got my dates wrong... I started in March 2020
I'm feeling old now

So as @p00hsticks mentions, I had been in the job for 18 months

So I'm not entitled to pension benefits I guess?

No, no pension I'm afraid.  If you are sure that you won't return to Local Government within 5 years of leaving then your best bet is the transfer.

We all have senior moments ! 

p00hsticks

MrsCluckyHen said:

Silvertabby said:

p00hsticks said:

MrsCluckyHen said:

Silvertabby said:

Are you sure about those dates?  Post April 2014 the LGPS vesting period ( the length of scheme membership you need to qualify for actual pension benefits) is two years, which you appear to meet.

This would rule out the refund you have offered.  Did you opt out of the pension scheme when you first joined/before you left?  Did you have 2 jobs, with a gap in between? 

I'm sure... I had just started when the first lockdown came along and I just finished last september. 
I didn't opt out of the pension scheme, nor did I have 2 jobs.

As far as I recall the first lockdown was in March 2020, not 2019 ?

Which means you would only have around 18 months service ?

Something just isn't adding up.  If you had 2 or more calendar years of service, then you would have been issued with a deferred benefit (pension) statement after you left.

You must have less than 2 years service to have been offered the choice of a refund or a transfer, with quotes for both options.  When you were told that you could leave your benefits with the LGPS the person you spoke to may have thought that you intended to rejoin Local Government, at which point your new post details would have been added to your old records.  If you don't rejoin the LGPS within 5 years of leaving your old job then your contributions (£1K) will be automatically refunded, so by far the best option would be to take the transfer.

However, if you are adamant that you have more than 2 years membership, then something has gone awry with your records. Noting that your LGPS records are only as good as the information supplied to them by your ex employer, speak to your LGPS again and ask them exactly what they have on record as your dates of service.

Sorry for the confusion... as above... I got my dates wrong... I started in March 2020
I'm feeling old now

So as @p00hsticks mentions, I had been in the job for 18 months

So I'm not entitled to pension benefits I guess?

No. In your shoes I'd get in touch with them ASAP and asked for it to be transferred - either into your current work pension if you have one or if necessary set up a SIPP of your own just to receive it. The transfer value is a LOT more than just getting the refund of your contributions.....

Albermarle

However my new pension is so small, and I'm so fearful of not having enough pension funds, that I was wondering if it would be worth transferring... but then as menitoned earlier, I trust the LGPS pension a little more than other non-LGPS providers. 

LGPS is a defined benefit ( DB ) scheme, and your new scheme and any you may transfer your LGPS transfer to are Defined Contribution ( DC ) schemes. It is not a matter of trust but two completely different types of scheme.

A DC scheme is normally invested in the financial markets and its performance is linked to the markets . 

Better to do some reading on this informative government website .

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