Transferring pensions into NHS pension

Silvertabby

Just to backtrack - OP has 2 LGPS pensions and 2 small DC pots.  Original post asked about transferring the DC pensions only into the NHS scheme, and my reply was based on that.  

Transferring the LGPS pensions into the NHS is a whole new ball game.

cafelady

Hi @Silvertabby. Yes that’s right. I’m not transferring the LGPS pensions, but the two DC pots. 

GrubbyGirl_2

QrizB said:

cafelady said:

GrubbyGirl_2 said:

Just be aware that if you retire at 60 and are planning to take your NHS pension at 60 it will be reduced by 31% and it may be more if Rachel Reeves increase the state pension age

Thanks @GrubbyGirl_2. That’s useful. So in effect I could be losing a third of what I transfer across if I took NHS pension at 60?

Not exactly.

You'll be recieving pension benefits for 7 more years than if you waited to 67.

Let's just imagine that your £10k buys you £600pa of pension at age 67. Taking it at 60 you might only get £414pa. But over seven years that's £2900 that you get back up-front, before normal retirement age.

Absolutely correct, but after 67 you're still getting £186 a year less every year until you die, and that could be a long time.

I'm not suggesting that she shouldn't do it but to just be aware of the implications so she has all the info to make a decision