We'd like to remind Forumites to please avoid political debate on the Forum... Read More »
1995 NHS Pension Retire & Return and salary sacrifice

Bytor123
Posts: 1 Newbie
I am 62 and have a 1995 and 2015 NHS pension. From all the discussions and information I am informed that I can take 100% of my 1995 lump sum and pension under the rule changes starting 1st October, and do a return to work with a 10% reduction in hours, continuing with the 2015 pension. I am advised to submit the papers after 1st October, allow 1 month for the employer to do their stuff and allow 3 months for the NHS systems to accommodate. Thus have a date of 1st February for the Pension.
My understanding is that the 1995 scheme is a final salary scheme (best of the last 3 years?). As I will still be working fulltime (less 10% hours) and I will retain my 2015 scheme, I want to take advantage of the salary sacrifice scheme for a lease car.
My question is, to avoid any impact on the final salary calculations, should I wait till 1st October to start the process for the car lease, or can I start the application for the car lease now under salary sacrifice which wont really take effect until the car is delivered and payments start (probably October).
I want to minimise any impact on the final salary calculations (or am I over thinking this as the calculation is based on the best of the previous 3 years).
I hope this is clear
My understanding is that the 1995 scheme is a final salary scheme (best of the last 3 years?). As I will still be working fulltime (less 10% hours) and I will retain my 2015 scheme, I want to take advantage of the salary sacrifice scheme for a lease car.
My question is, to avoid any impact on the final salary calculations, should I wait till 1st October to start the process for the car lease, or can I start the application for the car lease now under salary sacrifice which wont really take effect until the car is delivered and payments start (probably October).
I want to minimise any impact on the final salary calculations (or am I over thinking this as the calculation is based on the best of the previous 3 years).
I hope this is clear
0
Comments
-
If you are taking delivery of a lease car in October 2023 and claiming your pension from 1st February 2024 then entering a salary sacrifice scheme before you claim your 1985 pension could potentially impact on your pension as the salary will be lower than it would be if you were not in a salary sacrifice scheme. I’m assuming that the best of the last three years will be this current year given the 6% pay rise in this financial year.0
Confirm your email address to Create Threads and Reply

Categories
- All Categories
- 350.3K Banking & Borrowing
- 252.9K Reduce Debt & Boost Income
- 453.2K Spending & Discounts
- 243.3K Work, Benefits & Business
- 597.8K Mortgages, Homes & Bills
- 176.6K Life & Family
- 256.4K Travel & Transport
- 1.5M Hobbies & Leisure
- 16.1K Discuss & Feedback
- 37.6K Read-Only Boards