Employer pension contributions past state pension age

BRO1959

Interestingly I've been paying more attention to my pension since this happened, and found something that doesn't look right. There's a period where no contributions were credited to my pension for around 6 months (neither employee or employer) and then 6 contributions were all credited on the same date. I didn't think they were allowed to do this.

Albermarle

https://forums.moneysavingexpert.com/discussion/comment/82026057#Comment_82026057

Probably not deliberate- more likely some error in your HR/payroll dept.

Grumpy_chap

https://forums.moneysavingexpert.com/discussion/comment/82026057#Comment_82026057

Well, they probably shouldn't do that. But if they made a mistake, how else do you propose they rectify the matter? Assuming your employer doesn't have a time machine so is not able to actually make the payments each month as they should have?

DRS1

Well what were the prices of whatever you have invested in on the days when the contributions should have been credited to your pension and what was the price when they actually were? That would be your loss (or gain if the price has dropped).

NormalNorman

https://forums.moneysavingexpert.com/discussion/comment/82026057#Comment_82026057

Definitely worth checking what your employer is paying in as I discovered they were paying in less % than the contract. Easily sorted with a back payment but of course you have lost possible growth and higher tax if surfing close to a tax band.

Albermarle

AIUI the OP had contributions taken from their salary, but they just did not reach the pension. In which case there would be no implications for their tax position as far as I can see.

Regarding potentially lost growth. The OP does not define the 6 month period in question . However assuming that the pension is invested in a typical 60/40 fund ( which may or may not represent what the OP's pension is invested in, but probably is not a million miles away) and we look at the last 6 months and the 6 months before that ( just to get an idea).

Unless the OP is a higher earner and/or is making large pension contributions, the loss of growth would likely be only in the region of £30 to £50, if the contributions had been made normally.

BRO1959

https://forums.moneysavingexpert.com/discussion/comment/82026447#Comment_82026447

I'm on minimum wage and working part time, so nowhere near a high tax band.

GibbsRule_No3.

Curious what happens after 74? Do they not have to contribute, if not can they still take the employee money out for them?

mrklaw

https://forums.moneysavingexpert.com/discussion/comment/82027690#Comment_82027690

you no longer get tax relief after 74 so likely you can’t contribute any further at all - or it’ll be pointless

DRS1

https://forums.moneysavingexpert.com/discussion/comment/82027919#Comment_82027919

Maybe the question is whether salary sacrifice would still work?