NHS pension, help please

edited 30 November -1 at 1:00AM in Pensions, Annuities & Retirement Planning
21 replies 2.9K views
katieclampetkatieclampet Forumite
832 Posts

I can retire at 60 and get my NHS pension. If I carry on working, I work part time, and don't claim my pension, What happens to my pension?


I am in the 1995 scheme. I have worked part time for 20 years. I don't want to reduce my hours, since this may affect my pension. It is not possible for me to retire and return.


Have looked all over for information on this, but cant find anything. My trust have not been helpful.

Thanks
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Replies

  • ggmfggmf Forumite
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    This may help, there is also a document on the NHS pensions website that explains: https://www.which.co.uk/money/pensions-and-retirement/company-pensions/public-sector-pensions-explained/nhs-pension-schemes-explained-azydt0q5t434

    I have 2 NHS pensions, 1995 and 2008. I took my 1995 pension when it was due, reduced my hours in line with the pension rules and continue to contribute to the 2008. The advice I was given was that there is no benefit to not taking the 1995 when it was due.
    Once a Seagull always a Seagull - Bruno
  • I have looked at lots of information, but there seems to be nothing about leaving pension, and carrying on working. All the information available seems to be about actually retiring, then going back to work.

    Will try that website, thanks
  • edited 29 September 2018 at 11:23AM
    mollycatmollycat Forumite
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    edited 29 September 2018 at 11:23AM

    I can retire at 60 and get my NHS pension. If I carry on working, I work part time, and don't claim my pension, What happens to my pension?


    I am in the 1995 scheme. I have worked part time for 20 years. I don't want to reduce my hours, since this may affect my pension. It is not possible for me to retire a

    Thanks

    Sorry katie, wrong info given!
  • xylophonexylophone Forumite
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    According to the Scheme Booklet, (p32) if you don't claim your 1995 Scheme Pension

    There are no provisions to increase any of
    your benefits because they are paid after
    your Normal Pension Age.



    https://www.nhsbsa.nhs.uk/sites/default/files/2018-03/1995-2008%20Members%20Guide%20%28V21%29%2003.2018.pdf
  • ggmfggmf Forumite
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    If you take your 1995 then there has to be break in employment, will need to check duration. Also be aware that because you have 'retired' and gone back then you will be put on a new contract that may have different T's and C's.
    Once a Seagull always a Seagull - Bruno
  • Yes, that's why I would like to leave my pension and just carry on in my present role, until I am 62 or 63. If I retire and return I am unlikely to be able to continue in my current job. I don't actually want to retire, but want to make sure that by working past my NHS retirement date It doesn't affect my pension.
  • edited 29 September 2018 at 2:19PM
    zagubovzagubov Forumite
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    edited 29 September 2018 at 2:19PM
    You need to get more information about your pension by talking with the pension people and possibly your union. Maybe the HR department in your work could advise, but I'd be wary of that as you may be better off keeping your cards closer to your chest about your future plans.

    Some things you might want to investigate. You need to check whether, when you reach your retirement age, you're expected to collect your pension and if you want to stay in work, negotiate a reduction in hours. This is because some pension schemes have rules that you're not supposed to end up with an income greater than your pre-retirement salary. That could result in some or most of your pension being clawed back. Some schemes and employers may allow a phased retirement where you can collect some pension but have a reduction in working hours.

    I'm not sure there's anything to stop you working on after your normal pension age without collecting the pension, but there may be no advantage to you if the pension will stop growing. I have no idea if you keep paying in to the pension after this.

    If you retire earlier than your official retirement age, and if your employers are happy to offer you a new contract, you may be able to return to work at a similar salary to your current one after a short break. You might then be automatically paying into a new pension under whatever current scheme is in place.

    As ggmf says you could be under new Ts and Cs. So, for example, your continuity of service would be lost, which could make you vulnerable if redundancies were looming. Plus your pension will permanently be a bit less than if you waited till your retirement age, as you'd receive "actuarially reduced benefits" to compensate for your increased pensionable life expectancy.

    Not a decision to take lightly. I hope somebody better qualified could post more information for you.
    There is no honour to be had in not knowing a thing that can be known - Danny Baker
  • Thanks, lots of helpful info.
  • highethighet Forumite
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    hi katie
    see the following link
    https://www.nhsbsa.nhs.uk/sites/default/files/2018-03/1995-2008%20Members%20Guide%20%28V21%29%2003.2018.pdf
    your situation is covered on page 32 of the guide - ''late retirement'' but basically as you will have a lot less than the maximum 45 years service which is the maximum you can accrue in the 95 scheme you will go on amassing credit in the pension scheme and when you finally retire your pension will be based on the number of years you have worked up until that date and your final salary for the 12 months before you go
  • Thanks so much, that is exactly the information I was looking for. I have read through that leaflet several times, and managed to miss it.

    Thanks again
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