Teachers pensions and divorce

QrizB

If I opt to take it off my benefits at retirement then they said it will follow inflation rates so I might end up with barely anything left.

My assumption was incorrect and I've deleted it. See Marcon's post below for guidance on how the charges might be recovered from the scheme.

DRS1

@QrizB I think it is the OP who has the Teacher's Pension.

@leosayer I wondered about that but presumably it is too late to change anything if the Court Orders have been implemented? If it is not too late then offsetting the smaller pension against the larger (which may be the OP's husband's pension?) and only splitting the larger might be a route to consider.

dunstonh

I have gone through an amicable divorce and we have decided to split our pensions 50:50.

Whilst it may be amicable, there's a good chance that 50/50 on a defined benefit scheme is a lot more valuable than 50/50 on a defined contribution scheme. Of course, it depends on the value of the defined contribution scheme relative to the benefits accrued on the defined benefit scheme. But seeing how valuable the teacher's pension scheme is, you may well find that 50/50 of both types of pensions is not as amicable as you think.

Thank you for your comments. I have no problem paying a small admin fee but I just object to the amount they are quoting when other providers don't charge anything, it just seems like they have you over a barrel.

The Teacher's Pension scheme is not a provider. It's not that type of pension.

Given that you don't seem to understand what type of pension you have, is there a risk that you have inadvertently given your ex-spouse more value than you realise?

QrizB

QrizB I think it is the OP who has the Teacher's Pension.

Oops, sorry, my mistake! The rest should stand, though.

Marcon

https://forums.moneysavingexpert.com/discussion/comment/82071297#Comment_82071297

Might be better to delete it, since your assumption that TPS will commute and get their charges that way isn't correct - however sensible it might be to go that route!

If you really want to do your head in, have a look at the 20 pages of actuarial guidance covering how the charges could be recouped: https://www.teacherspensions.co.uk/-/media/documents/member/documents/factors/divorce/191108_tps_ew_recovering-divorce-admin-charges.ashx?rev=1a89d4e651664c299652d36ad8633648&hash=A391047B43C85005E35C422097E64AA5

QrizB

Lawks-a-lordy. I'll edit my post!