Pension, Final Salary - My Brain Hurts!

peejaydj

LHW99 said:

peejaydj said:

LHW99 said:

Isthisforreal99 said:

As to how OP should have known, were they not getting annual statements showing what was payable at 60.

If it's any consolation there is a similar lack of knowledge in the Civil Service where people work full time beyond 60 where they could have taken partial retirement at 60, worked 3 days a week fotlr the same take home income (pay and pension). 

On the whole (historically at least) the TPS have never sent annual statements for the DB scheme. The initial booklet let you know the accrual rate of 1/80, and apart from a statement of benefits if deferred (and at that time-point), you couldn't learn any more until just before claiming the pension.

It is really only relatively recently that any sort of calculators have been available.

Thankyou LHW99   so therefore ... If I didnt claim, I wouldn`t know"  ??  pure catch 22!

Quite possibly, if you didn't understand the booklet, as is very likely as it used to be written at least.

OH & I had a couple of paid for meetings with an IFA as we were approaching 60, and this was something (usefully) he mentioned in passing. As I had left the service by then though, I couldn't pass that on to any work colleagues.

Booklet?, what booklet?

DRS1

peejaydj said:

Vitor said:

- Yeh thanks hugheskevi.... 'take it or lose it' ... how should I have found that out that it existed? -

In the Teachers’ Pension Scheme it’s worth being clear on two points:

• If you don’t draw your final salary pension at age 60, you don’t get arrears later. But the pension isn’t “lost” either, it’s still linked to your eventual pensionable salary and, if taken after NPA, normally attracts a late-retirement uplift.

Hi Vitor,  so you are saying?     1.  Overall I dont lose any money  at all in the long run? ie.  in spite of the £9k p/a not drawn?  and   2.  it is simply added on at the point when I do take my final pension which will be higher as a result ?   and 3. then on top of that I get the late-retirement uplift for working those extra few years past 60?

I think you may be clutching at straws.  Read @hugheskevi's and @d6fs1l posts instead.

As a matter of interest what do you now plan to do?  Whatever it is get on with it.

peejaydj

Isthisforreal99 said:

peejaydj said:

Isthisforreal99 said:

As to how OP should have known, were they not getting annual statements showing what was payable at 60.

If it's any consolation there is a similar lack of knowledge in the Civil Service where people work full time beyond 60 where they could have taken partial retirement at 60, worked 3 days a week fotlr the same take home income (pay and pension). 

Thank you... " similar lack of knowledge"     ..... whhat can we do?

Educate yourself. I'm 53 but know exactly how much I'll be entitled to and when. Blaming others won't help. 

Too many people take no interest in their pension. The information is out there.

Thankyou for your kind and helpful contribution. I do feel much better for it. I vow henceforth to cease assuming that Capita and their management of TP has been utterly and scandalously crap, (like the vast majority of teachers are fearfully realising this summer). I now realise that my school (to whom I have given my life-blood) and my Union  (who I pay monthly) also have absolutely zero responsibility whatsoever to  care about my well-being and provide basic pensions advice to me. I will henceforth accept sole blame.  Warm regards.

peejaydj

d6fs1l said:

I remember reading one of Paul Johnson's columns in the Times earlier this year where he mentioned this issue. The text is reproduced on the IFS site: https://ifs.org.uk/articles/heres-pension-tweak-nudging-civil-servants-work-past-60

Interestingly, he says that while there is no actuarial enhancement of the NPA60 benefits for late retirement in the TPS (which I am sure is correct), you do get them paid as arrears when you start drawing your benefits. 

The TPS's own material suggests (p. 14) that this is correct if you are not in pensionable employment when you reach the NPA:

https://www.teacherspensions.co.uk/-/media/documents/member/guides/planning-retirement/retirement-planning-guide.ashx?rev=8501f05bb3a541b597d63489fd998840&hash=AD4F6B7E02C62976E794F2D10CB70E1E#:~:text=Types of retirement If you're not in,benefits are payable from your 75th birthday.

This leaves the question of whether you receive arrears if you are in pensionable employment when you reach the NPA. The detailed example in 

https://www.teacherspensions.co.uk/members/search/-/media/463f33f11072444a90a11d5bad550bb7.ashx

(example A, page 7) does not mention it.

Thankyou so much. will have a good look later.... Yes, even Paul Johnson says the rules are "staggeringly complex and confusing"   

LHW99

peejaydj said:

LHW99 said:

peejaydj said:

LHW99 said:

Isthisforreal99 said:

As to how OP should have known, were they not getting annual statements showing what was payable at 60.

If it's any consolation there is a similar lack of knowledge in the Civil Service where people work full time beyond 60 where they could have taken partial retirement at 60, worked 3 days a week fotlr the same take home income (pay and pension). 

On the whole (historically at least) the TPS have never sent annual statements for the DB scheme. The initial booklet let you know the accrual rate of 1/80, and apart from a statement of benefits if deferred (and at that time-point), you couldn't learn any more until just before claiming the pension.

It is really only relatively recently that any sort of calculators have been available.

Thankyou LHW99   so therefore ... If I didnt claim, I wouldn`t know"  ??  pure catch 22!

Quite possibly, if you didn't understand the booklet, as is very likely as it used to be written at least.

OH & I had a couple of paid for meetings with an IFA as we were approaching 60, and this was something (usefully) he mentioned in passing. As I had left the service by then though, I couldn't pass that on to any work colleagues.

Booklet?, what booklet?

AFAIR it was orange / white and I got it with my first teaching post - and never thereafter!

Impenetrable text of course, as it was well before the "Plain English" campaign