Standard life GMP

xylophone

You could read the links concerning S32 and Guaranteed Minimum Pension and also those concerning protected rights.

You could check on whether the transfer in was from a protected rights pension or from a DB Scheme.

You could check on whether or not you have a safeguarded benefit.

You could ask about transfer options and on what options will be available to you on maturity.

plumb1_2

I have just been on the government site checking my SP
Max £185.15 per week , £805.07 per month and £9660.86 pa
there is also a Cope figure of £57.94 per week, , so x52wks is £3012.88
on the SL life it gives me a GMP of £1186.77, and says they check with the government to see if it’s higher. So will they do this? And pay the higher rate ?

xylophone

on the SL life it gives me a GMP of £1186.77, and says they check with the government to see if it’s higher. 

I think that you are going to have check with SL what exactly this means.

You are going to check whether the transfer in was from a DB Scheme or from protected rights.

Where a transfer inwas made from a DB scheme, the ceding scheme would produce a statement showing how the transfer payment was split between pre 88 GMP/post 88 GMP and excess.

The provider of the S32 will be obliged to pay the policy holder at least the GMP revalued to GMP age - see previous links.

With regard to your State Pension Forecast, does it indicate that you have already reached the maximum available without any further contributions?

With regard to COPE, have a look at this, produced at the time that the new state pension was to begin.

https://www.rctpensions.org.uk/En/RelatedDocuments/LatestNews/Yourstatepensionstatementexplained.pdf

Note in particular

We have included the current estimated value of this amount - we call this your Contracted Out Pension Equivalent (COPE) - on page 1 of your statement.

If you are a member of two or more contracted out schemes, the Contracted Out Pension Equivalent (COPE) amount shown is based on all of your schemes.

The date when you get your workplace or personal pension, and the full amount you receive, will depend on the rules of your scheme(s) and possibly any investment choices you make.

This means that your COPE may not relate solely to the SL scheme - were you ever in any other contracted out scheme?

Notepad_Phil

plumb1_2 said:

I have just been on the government site checking my SP
Max £185.15 per week , £805.07 per month and £9660.86 pa
there is also a Cope figure of £57.94 per week, , so x52wks is £3012.88
on the SL life it gives me a GMP of £1186.77, and says they check with the government to see if it’s higher. So will they do this? And pay the higher rate ?

As far as I'm aware the GMP and COPE are not related directly, so don't get your hopes up that you'll get a bunch more money -  especially if you've worked in other places where the COPE could have been built up from.

Also, did it say actually say that or did it say something along the lines that "it would check with the government to check that it is the right figure"?

There has been a long term process where pension schemes have been checking to ensure that their gmp records are up to date and correct and I wonder whether this statement is just meaning that. Most gmp records are correct, and from memory of what I've previously read, where they are wrong it's usually only by a small percentage of the sum recorded.

xylophone

There has been a long term process where pension schemes have been checking to ensure that their gmp records are up to date and correct and I wonder whether this statement is just meaning that. 

The GMP reconciliation exercise.

https://equiniti.com/media/1106/5067-eq-gmp-prodcard-awnc.pdf

plumb1_2

1986

Plan retirement date

Nov 2022

Important information about your guarantees:

• Guaranteed Minimum Pension: £1,186.77
• Your plan includes a guaranteed minimum pension (GMP). If you decide to transfer this to a money purchase scheme you will be giving up your GMP.
• If considering retirement and you decide to shop around under the open market option – any new provider would have to accept the liability of providing your GMP.
• If the value of your guaranteed benefit is £30,000 or more, then before transferring you will need to seek financial advice, for which there may be a cost. Contact us if you need more information about your guaranteed benefit. Transferring isn't right for everyone.

plumb1_2

just found some paperwork April 22
plan has a GMP of £1186.77 payable from November.
When you take your benefits we will check with Hmrc, if their records hold a higher amount we will pay that amount.
if the date you take your benefits is at least Severn complete weeks after age 65, this GMP will increase by one seventh of a percent for each complete week from age 65 upto the date you take your benefits.

xylophone

just found some paperwork April 22
plan has a GMP of £1186.77 payable from November.
When you take your benefits we will check with Hmrc, if their records hold a higher amount we will pay that amount.

It is pre 88 GMP so will not increase in payment.

• If the value of your guaranteed benefit is £30,000 or more, then before transferring you will need to seek financial advice, for which there may be a cost. Contact us if you need more information about your guaranteed benefit. Transferring isn't right for everyone.

Ask SL for a valuation of your safeguarded benefit.

Ask whether you will be entitled to benefits in excess of the GMP.

plumb1_2

Hi all
Recieved a letter back from SL
We can confirm that the value of your safeguarded benefits is the same as your transfer value £35,393
Please find enclosed a current retirement quote which confirms that, if you were to take the benefits from the plan today, you are indeed entitled to benefits in excess of your GMP
This plan does not facilitate a drawdown,this means you cannot take the tax free cash and leave the balance in the fund.
You will need to transfer into a Sipp product withSL or another provider.

Then quotes estimated value on retirement date £35,393.23
This could give you a tax free lump sum £10,785.39

Confused about it all now, as tfs is more than 25% 

xylophone

Confused about it all now, as tfs is more than 25%
 

There were certain policies (pre 2006) which allowed the holder to take a greater than 25% PCLS.

You would need to check  with SL whether this is the situation in your case.

Please find enclosed a current retirement quote which confirms that, if you were to take the benefits from the plan today, you are indeed entitled to benefits in excess of your GMP

What is being offered?

I have just been on the government site checking my SP
Max £185.15 per week , £805.07 per month and £9660.86 pa

Does the forecast say that you need to continue to contribute to reach your forecast?

And were you a member of other contracted out pension schemes?