Old Company DB Pension

IAMIAM

I currently get my CETV value every 6 months.

January 22 - Was 140k
July 22 - Now 110k

It pays £5k per annum age 65. If I take it at age 60, it projects 4.3k per annum.

I know it's only small. But will these two values (5k/4.3k) ever change?, they seem to stay as they are, for the past couple of years, meaning the only change in value seems to be the CETV regularly. I want the CETV as it will potentially support me retiring at age 60 before I claim TPS at age 65. However, I always thought my actual values of 5k/4.3k would increase between now and 65, but they always seem to project the same figures. Is this right for a closed old DB scheme?

Andy_L

It will increase with inflation. Depending on the scheme rules that may be CPI or rpi and may be capped

xylophone

When were you a member of the scheme?

What does your statement of deferred benefits at date of leaving the scheme  show?

What does the scheme guide have to say about how a pension revalues in deferment (GMP if any/excess)?

Marcon

IAMIAM said:

I currently get my CETV value every 6 months.

January 22 - Was 140k
July 22 - Now 110k

It pays £5k per annum age 65. If I take it at age 60, it projects 4.3k per annum.

I know it's only small. But will these two values (5k/4.3k) ever change?, they seem to stay as they are, for the past couple of years, meaning the only change in value seems to be the CETV regularly. I want the CETV as it will potentially support me retiring at age 60 before I claim TPS at age 65. However, I always thought my actual values of 5k/4.3k would increase between now and 65, but they always seem to project the same figures. Is this right for a closed old DB scheme?

Have you read the supporting paperwork? That should tell you the basis on which the projection has been calculated.

Why do you get a CETV every 6 months? You're wasting the scheme's money by doing so (the more money in the scheme the safer your benefits...), and not learning anything of value to you. Not sure why the CETV will 'potentially support retiring at age 60' - if you're considering transferring out then, there's no point having regular CETVs until you get there.