Consolidating NEST & NHS workplace pensions?

Albermarle

QrizB said:

MX5huggy said:

A pension of £463 for a cost of £1200 odd sounds rubbish £463 for maybe 30 years for £1200 sounds like a deal! 

What would that cost to buy as an RPI-linked annuity, something like £20k?

Annuity rates have been improving so maybe a bit less than £20K but for sure more than £15K . In any case it is a lot more than £1200 !

JustAnotherSaver

MX5huggy said:

The bit that’s missed in the £463, is per year for life so from retirement age to death it’s £463 per year. 

A pension of £463 for a cost of £1200 odd sounds rubbish £463 for maybe 30 years for £1200 sounds like a deal! 

That's interesting. She's actually just tried to search her payslip to get the number but for some reason can't sign in to Adobe on this new phone even though the code Adobe is giving her is the exact same one as she's entering (I saw her do it) and they say it's invalid. Weird.

But the £25k mentioned probably isn't going to be a million miles off what she'll be on at the moment. Might be a bit less. If it's more then I doubt it'd be a lot more. She's down as a band 4 according to a payslip she sent me last month & her pension shows as 7.1% £133.41 with a net pay of £1897. However, they'd messed up her tax code so I don't know whether that'll match the months afterwards when the code has been sorted out.

Dazed_and_C0nfused

according to a payslip she sent me last month & her pension shows as 7.1% £133.41

That's £1,600/year which will reduce her income tax payable by £320 so a net cost of £1,280.

And £133.41 being 7.1% is equal to pensionable pay/salary of £22,548.

Which would accrue a pension of £417 🙂

xylophone

we can't really see any info about her pension. 

Has your wife seen this?

https://www.nhsbsa.nhs.uk/member-hub/understanding-your-benefits-2015-scheme

She can download the Scheme Guide from the link in the above and also watch a video.

JustAnotherSaver

Dazed_and_C0nfused said:

according to a payslip she sent me last month & her pension shows as 7.1% £133.41

That's £1,600/year which will reduce her income tax payable by £320 so a net cost of £1,280.

And £133.41 being 7.1% is equal to pensionable pay/salary of £22,548.

Which would accrue a pension of £417 🙂

You know when magicians pull things out of nothing?

Yeah...that. Your username is actually how I'm feeling right now

xylophone said:

we can't really see any info about her pension. 

Has your wife seen this?

https://www.nhsbsa.nhs.uk/member-hub/understanding-your-benefits-2015-scheme

She can download the Scheme Guide from the link in the above and also watch a video.

She's seen absolutely nothing about her pension other than what comes out of her pay each month.

Thanks for the link.

Dazed_and_C0nfused

You know when magicians pull things out of nothing?
Yeah...that. Your username is actually how I'm feeling right now 

When you remember that the £1,280 is paid across a single year but the £417 (which will be inflation proofed before and during retirement) could be paid for 30+ years you can see it's a valuable part of the NHS remuneration package 🙂

JustAnotherSaver

Dazed_and_C0nfused said:

You know when magicians pull things out of nothing?
Yeah...that. Your username is actually how I'm feeling right now 

When you remember that the £1,280 is paid across a single year but the £417 (which will be inflation proofed before and during retirement) could be paid for 30+ years you can see it's a valuable part of the NHS remuneration package 🙂

Can you 'pay extra'?

And if you can and therefore do, do the NHS pay above what they will be doing now, or do they just pay at a set percentage & that doesn't change?

OR....would you continue to roll with a SIPP alongside? I tell you for why I ask....

Previously she was paying in to her workplace pension with her previous employer which was with NEST.

They paid in the bare minimum (3%) so she also paid in the bare minimum (5%). It didn't matter if she paid in 55%, they would still only pay in 3%.

SO, what she was contributing towards retirement above & beyond the minimum 5% went (& still goes) in to her SIPP that's with Fidelity. IIRC she's invested with one of the HSBC Global Strategy funds. Dynamic or Adventurous. Can't remember exactly off top of my head.

I suspect this is a little crystal balling but the question is whether it'd be better in the long run to continue doing that (let the workplace pension do its thing & keep paying in to the SIPP) or whether it'd be better to stop SIPP contribs & basically go eggs-in-one-basket with the NHS workplace pension?