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    • Karma
    • By Karma 11th Apr 18, 10:07 AM
    • 61Posts
    • 0Thanks
    Karma
    NHS Pension Transfer
    • #1
    • 11th Apr 18, 10:07 AM
    NHS Pension Transfer 11th Apr 18 at 10:07 AM
    Hi,

    Hoping someone can help with this. My wife worked in the NHS for a few years and has since left but she did have an NHS pension for a while.

    She now has a auto-enrolment pension and we were wondering what we should do with the NHS pension, should we transfer it to the auto-enrolment pension fund? If so, how would we do this?

    Thanks
Page 1
    • ewaste
    • By ewaste 11th Apr 18, 10:12 AM
    • 63 Posts
    • 40 Thanks
    ewaste
    • #2
    • 11th Apr 18, 10:12 AM
    • #2
    • 11th Apr 18, 10:12 AM
    If she was directly employed by the NHS then the pension is an unfunded Defined Benefit scheme therefore there is nothing to transfer to a Defined Contribution scheme. Any pension entitlement that has been built up will be deferred and revalued annualy in line with inflation until normal retirement age.

    How long did she work in the NHS and between what years, we might be able to determine what scheme she would have been in and what rules apply.
    Last edited by ewaste; 11-04-2018 at 10:17 AM.
    • xylophone
    • By xylophone 11th Apr 18, 10:46 AM
    • 27,657 Posts
    • 16,613 Thanks
    xylophone
    • #3
    • 11th Apr 18, 10:46 AM
    • #3
    • 11th Apr 18, 10:46 AM
    She has a deferred Defined Benefit pension from an unfunded public service scheme and wants to transfer to a DC Scheme? if so, this is not permitted.


    See page 3 for full details.

    https://www.nhsbsa.nhs.uk/sites/default/files/2017-05/Transfer%20Out-UK%20Transfer%20Out%20Guide%20and%20application%20 pack-20170516-%28V10%29.pdf
    • PeacefulWaters
    • By PeacefulWaters 11th Apr 18, 10:52 AM
    • 8,318 Posts
    • 10,672 Thanks
    PeacefulWaters
    • #4
    • 11th Apr 18, 10:52 AM
    • #4
    • 11th Apr 18, 10:52 AM
    It's good news that it's not permitted.

    It'll be a useful part of retirement provision.
    • Karma
    • By Karma 11th Apr 18, 11:12 AM
    • 61 Posts
    • 0 Thanks
    Karma
    • #5
    • 11th Apr 18, 11:12 AM
    • #5
    • 11th Apr 18, 11:12 AM
    Hi,

    Thanks for your replies. She was a receptionist at a medical centre (doctors) until 2014.

    How would we find out what type of pension she had? We managed to find an SD number reference.
    • dunstonh
    • By dunstonh 11th Apr 18, 11:14 AM
    • 96,058 Posts
    • 63,876 Thanks
    dunstonh
    • #6
    • 11th Apr 18, 11:14 AM
    • #6
    • 11th Apr 18, 11:14 AM
    How would we find out what type of pension she had?
    Look at the benefit statement (issued each year she was employed) or the scheme booklet/welcome pack issued at the start.
    I am an Independent Financial Adviser (IFA). Comments are for discussion purposes only. They are not financial advice. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
    • Karma
    • By Karma 11th Apr 18, 6:11 PM
    • 61 Posts
    • 0 Thanks
    Karma
    • #7
    • 11th Apr 18, 6:11 PM
    • #7
    • 11th Apr 18, 6:11 PM
    We don't have all documentation, but we have a letter describing the leaving process from 2005, titled "Leaving The Scheme - SDK".

    What types/names are there?
    • xylophone
    • By xylophone 11th Apr 18, 6:58 PM
    • 27,657 Posts
    • 16,613 Thanks
    xylophone
    • #8
    • 11th Apr 18, 6:58 PM
    • #8
    • 11th Apr 18, 6:58 PM
    https://www.nhsbsa.nhs.uk/member-hub/getting-estimate-your-pension
    may help?
    • highet
    • By highet 12th Apr 18, 11:50 AM
    • 340 Posts
    • 73 Thanks
    highet
    • #9
    • 12th Apr 18, 11:50 AM
    • #9
    • 12th Apr 18, 11:50 AM
    if your wife worked in an nhs GPs surgery she would have been a member of the NHS pension scheme - most likely the 95 section -she will have become a deferred member when she left - she will get 1/80 of her final salary for every year she was a member prior to leaving uprated by CPI annually plus 3 x her pension as a lump sum payable when she is 60 - she can take her pension any time after the age of 50 but would be subject to an actuarial reduction of about 4% of pension for each year before her 60th birthday - the government removed the option to transfer benefits from the nhs scheme to any other scheme other than similar unfunded public sector schemes a few years ago so that isnt an option (probably because they have long since spent any money your wife and others paid in and didnt fancy having to actually come up with the hard cash to cover the cost of the benefits promised!!!!)
    • Karma
    • By Karma 12th Apr 18, 11:59 AM
    • 61 Posts
    • 0 Thanks
    Karma
    if your wife worked in an nhs GPs surgery she would have been a member of the NHS pension scheme - most likely the 95 section -she will have become a deferred member when she left - she will get 1/80 of her final salary for every year she was a member prior to leaving uprated by CPI annually plus 3 x her pension as a lump sum payable when she is 60 - she can take her pension any time after the age of 50 but would be subject to an actuarial reduction of about 4% of pension for each year before her 60th birthday - the government removed the option to transfer benefits from the nhs scheme to any other scheme other than similar unfunded public sector schemes a few years ago so that isnt an option (probably because they have long since spent any money your wife and others paid in and didnt fancy having to actually come up with the hard cash to cover the cost of the benefits promised!!!!)
    Originally posted by highet
    Thanks highet, that's really helpful actually and it does sound right.

    We have little documentation but we're trying to get some form of statement from them.

    So really there is nothing to we need to do with it, just leave it and come back when it's time to claim?
    • Brynsam
    • By Brynsam 12th Apr 18, 12:09 PM
    • 1,740 Posts
    • 1,276 Thanks
    Brynsam
    Thanks highet, that's really helpful actually and it does sound right.

    We have little documentation but we're trying to get some form of statement from them.

    So really there is nothing to we need to do with it, just leave it and come back when it's time to claim?
    Originally posted by Karma
    Yes - but do remember to advise them of any change of address if you move in the meantime.
    • Karma
    • By Karma 12th Apr 18, 12:13 PM
    • 61 Posts
    • 0 Thanks
    Karma
    Thanks all.

    So to clarify, what little is in the fund "is" earning interest?

    Edit: And a silly question; now she has left we can't pay anything in either?
    • JoeCrystal
    • By JoeCrystal 12th Apr 18, 12:28 PM
    • 1,489 Posts
    • 940 Thanks
    JoeCrystal
    There IS no fund earning interest. You must understand that there is no pot of money with her name on it. Instead, she get deferred benefit which she will be able to claim, that benefit will be revalued according to inflation and so on. It is on a pay-as-you-go basis. In other words, it is unfunded with all the contributions going directly to the NHS pensioners at the time with any shortfall covered by the Treasury.
    • PeacefulWaters
    • By PeacefulWaters 12th Apr 18, 12:31 PM
    • 8,318 Posts
    • 10,672 Thanks
    PeacefulWaters
    So to clarify, what little is in the fund "is" earning interest?
    Originally posted by Karma
    While the phraseology is wrong, yes.

    The accrued benefits are growing in line with inflation.

    Edit: And a silly question; now she has left we can't pay anything in either?
    No. But she can contribute to other pensions privately.
    • Karma
    • By Karma 12th Apr 18, 12:33 PM
    • 61 Posts
    • 0 Thanks
    Karma
    Thanks everyone
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