Level or Non level

QrizB

I have no other savings of significant value.

OK, but then you say:

Just paying DB scheme and AVC is a struggle .

Do the numbers you've quoted include whatever your AVC adds? And include the predicted effects of a further 4.5 years of contributions?

Assuming that this is all already factored in, while you currently plan to continue working there will change me a time when you want to retire. If this is 67, the same time your state pension comes into payment, how much income do you think you'll need them?

With the "level" option your DB plus SP will be just under £21k. With the "non level" option it'll be just under £28k.

Do you think you'll be able to have the retirement you want on £21k? Or would £28k be better, keeping in mind that 28k will mean a smaller pension (& working more) before you get to 67?

Yorkie1

Couple of thoughts:

1. You mention taking the pension in 4.5 years, when you are 57 and have reached 40 years of service. Are you sure that you will have reached eligibility to take the pension at that point? Is there a higher normal retirement age?
2. Depending on the answer to Q1, are the figures you've set out likely to be reduced at all for early payment, if you take the pension before a higher NRA?
3. The current government has been making noises about undoing the triple lock of the state pension in the next parliament if it gets back into power. (This is not a political post). But if that comes to pass, what impact might it have on your pension if you take the option which lowers at SP age?

Reddevil74

The avc makes up the 25% tax free .

The numbers will rise over next 4.5 years.

Im probably over paying AvC at expense of other savings as only 4.5 years away .

I honestly dont know which i will decide upon hence I wanted people opinion. I favoured level , more but have researched genetics regarding parents age& offspring and its thrown me . Think ill worry in 3.5 years ha ha

Think most will agree its a very hard choice

DRS1

Re parents age I wouldn't take much notice. My father and his brothers didn't make it to 60 so on that basis I needn't have bothered with a pension at all.