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Civil Service Pension - promotion after partial retirement
ClashCityRocker1
Posts: 173 Forumite
Question for you clever folk.
I took partial retirement (Civil Service) in July - reduced my hours by 20%, took 16 years worth of Classic pension (of 18.5) and all accrued alpha. When I eventually fully retire I will take other 2.5 years Classic and new alpha accrual based on new salary.
Because i took 16 years Classic and it it is an 80Th scheme that means it was equivalent to 20% salary and thus no abatement.
Now I find that there is a promotion opportunity I am interested in.
If I get promoted and thus paid more does abatement rear its ugly head again? If so how do they work it out?
I took partial retirement (Civil Service) in July - reduced my hours by 20%, took 16 years worth of Classic pension (of 18.5) and all accrued alpha. When I eventually fully retire I will take other 2.5 years Classic and new alpha accrual based on new salary.
Because i took 16 years Classic and it it is an 80Th scheme that means it was equivalent to 20% salary and thus no abatement.
Now I find that there is a promotion opportunity I am interested in.
If I get promoted and thus paid more does abatement rear its ugly head again? If so how do they work it out?
0
Comments
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Yes, abatement will possibly apply. Same principle applies in that your part time salary plus any legacy (in your case Classic) cannot exceed your Salary of Reference at partial retirement.
My understanding is that the salary of reference increased with CPI for circumstances such as promotion or an increase in hours but ultimately if you got promotion then if your new salary plus your Classic pension exceed the salary of reference plus CPI then some pension would be abated.0 -
Yes I fear you are right which means that although promotion would increase final pension slightly when I fully retire it is a bit pointless otherwise.0
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I always say to people who are considering partial to consider what impact it will have on future promotion opportunities, i.e.abatementClashCityRocker1 said:Yes I fear you are right which means that although promotion would increase final pension slightly when I fully retire it is a bit pointless otherwise.0 -
Thank you Isthisforreall99. Can I just call you izzy? or do you prefer a more formal 99?0
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