NHS Bank pension enrollment

buyhighselllow

Hi

I have automatically been deducted 6.1% pension contributions from my NHS bank shifts .
I am already receiving my NHS pension.
Contributions currently totaling £175. I have been advised I need to complete 2 forms, one to stop deductions and one to claim a refund if I wish. I only intend working another 20 shifts or so and  estimate I could end up contributing about £600 if I do nothing. I am wandering what sort of return this would give at SP age if I just left as is ? 

Brie

It probably would qualify as a trivial sum that you could claim back in full.  The problem, perhaps, with stopping the deductions though is that you would miss out on contributions being made by the NHS.  I'm in a similar situation where I've signed up to the NEST pension in my part time job even though I know it will only amount to a few hundred at best - but that will include free money from my employer as well as the deductions from my pay. 

Dazed_and_C0nfused

buyhighselllow said:

Hi

I have automatically been deducted 6.1% pension contributions from my NHS bank shifts .
I am already receiving my NHS pension.
Contributions currently totaling £175. I have been advised I need to complete 2 forms, one to stop deductions and one to claim a refund if I wish. I only intend working another 20 shifts or so and  estimate I could end up contributing about £600 if I do nothing. I am wandering what sort of return this would give at SP age if I just left as is ? 

If I've understood you correctly you will earn ~£9.8k (to pay £600 in NHS CARE scheme contributions).

That £600 will likely have saved you £120 in tax so the real cost is only £480.

Pensionable earnings of £9.8k in the NHS CARE scheme would accrue a pension of £181.

Which will be revalued to either £193 or £195 depending on whether you are a deferred or active member of the scheme.

Difficult to see you beating that return elsewhere.