Accessing Separate Deferred LGPS Pensions

Retireinten

A few questions, probably for the LGPS pension experts on this forum. Had a decent Google search, but can't find the answer.

Plan is to finish work at 55 and take my LGPS at either 57 or 60 (when I have some 85 rule protection on my final salary pension). Either option gives me enough retirement income... but with the age 60 option I reach 'payback' at around the age of 71/72 and it also gives a bit more guaranteed income at pension age onwards, which I am leaning towards. 

However, I am wondering if there is a third option. By the time I reach 57, I will have three deferred LGPS pension schemes, all built up consecutively with no break in service, but from different local government employments (same LA pension scheme). These have been kept separate because my first deferred pension includes all my final salary benefits (plus a year of career average) at a higher salary.

I also have an AVC plan (latest active employment).

I have a few questions on the mechanics of accessing the deferred schemes and would appreciate any guidance on this please...

Can I take my separate deferred LGPS pensions at different times, once I'm no longer an active scheme member?

So, for instance, could I take my two career average pensions at 57 and continue to defer my older 'final salary' pension until I'm 60 (for the extra protection the 85 rule gives me)? 

If I can take them separately, does that affect the 85 rule on the older scheme in any way?

Also how does this affect the AVC pot? Plan was to take this as a 25% lump sum as early as possible but it can wait until I'm 60.

Thanks

Silvertabby

Yes, you can take your deferred records at different times.  You appear to be aware that R85 protections will only fully kick in if left until age 60.

You must also be aware that your two CARE records  NRAs are the same as your State pension age, so the early payment reductions will be pretty hefty.

Your AVC options are limited by the date you first starting the contract. Unless you take all three records at the same time, your AVC will be linked to the pension records(s) you were actively paying into at the same time as your AVC.  

Note:  That's the way I would have handled the AVC in my day, but I'm aware that other LGPSs may be more flexible.  A quick call to yours should clarify their stance on AVCs and deferred records.

Retireinten

Thanks for the response Silvertabby, I was hoping you would reply to this one .

I am aware of the costs of taking the pensions early, I'm currently trying to find a happy medium between accessing the LGPS versus drawing down other funds in the early stages of retirement.

It had just occurred to me that there may be a third option of taking my LGPS in phases as they will all be deferred... and that gives me scope to retain the 85 rule protection on my oldest deferred scheme if I wait until I'm 60. 

The AVC pot is newish with no scope really to build enough into it to get 25% tax free lump sum if calculated on my total LGPS (unless I work and earn for longer).  But if I can take this with my latest CARE at 57 I should be able to build up enough in the AVC to claim 25% against that CARE pension. 

I will check in with my LA pension administrator for a bit more information.  

Thanks again for your reply.