Maximising for later years

happymum37

moneyworrier2021 said:

Thank you.

He has finally managed to speak to someone in the pensions department and yeah it's fairly straight forward after all. He is going to sacrifice the £120 a month i've mentioned as the 25% bonus from the Government makes it worth while. That in itself gives a healthy sum plus I believe it will also increase with Inflation.

Yes to make it clear the police only match his normal contributions not over payments but they are still worthwhile due to the tax wrapper

moneyworrier2021

Another question.

we both have previous pension pots (mine working for Dyson and he has working for Christchurch university)

Can these be transferred and combined with the police pensions or do they have to be kept separate?

PropertyGuru_Wannabe

Should have been asked on starting employment. Too late now.

if you are not looking to retire before 60 and not taking out any lump sum then the AVC might be worth it. Otherwise I wouldn’t put my money. Try using the AVC calculator to see if you are happy putting the money in and the money you get out at 60.

In most cases, I think a private SIPP is far better as you have greater control over it even though the growth is not guaranteed.

crv1963

I think that you're both doing well, especially at your ages! I retired NHS (and returned) at the age for the scheme I was in. I would suggest that your husband does contribute additional money to his Police Pension scheme, he is getting a promise for a sum of money annually which is uprated by inflation annually for the rest of his life, plus should he die before you he is getting you a percentage of his pension paid to you for the rest of your life. Likewise the same applies to you when you join the Police Force.

I would then suggest build some rainy days saving, maybe 3-6 months of monthly spending, just in case for some reason you need to access ready cash. Then look at putting any spare cash in your LISAs, after this look to SIPPs or ordinary ISAs to build additional cash for later life. Overpaying Mortgage by £50 pm does make a difference.

Don't focus solely on one goal but a bit off of each - the tortoise beat the hare!

I would also make sure that you enjoy yourselves and don't be so focused on saving that you miss out on living now. You only have youth and health for so long! I know many healthy OAPs but aging does catch up with us all in the end to varying degrees, buy the ice cream and dance as if no one is watching every now and then!

happymum37

moneyworrier2021 said:

Another question.

we both have previous pension pots (mine working for Dyson and he has working for Christchurch university)

Can these be transferred and combined with the police pensions or do they have to be kept separate?

You can transfer the money into your poolice pension that's fine.   I transferred s fees into mine.  

Like the other poster said over pay your pension a bit, personally I would over pay your mortgage a bit and save up a bit 
And have fab holidays and live a little x