View Full Version : New for Old Pension Scheme
Bitberg7
3rd Oct 2006, 12:41
Like a lot of guys coming up to their 38 point, I elected to stay on the old pension scheme as it would have been pension suicide to go on to the new scheme without an offer of PA. Having just been offered PA now, and presumeably new terms of service, should we able to transfer to the new scheme? The majority seem to think that we are stuck on the old scheme indefinately - not so good for the PA pension... Awaiting the inevitable stream of witt, abuse etc
PompeySailor
3rd Oct 2006, 13:10
Like a lot of guys coming up to their 38 point, I elected to stay on the old pension scheme as it would have been pension suicide to go on to the new scheme without an offer of PA. Having just been offered PA now, and presumeably new terms of service, should we able to transfer to the new scheme? The majority seem to think that we are stuck on the old scheme indefinately - not so good for the PA pension... Awaiting the inevitable stream of witt, abuse etc
Cut off date has gone, you are stuck on the original scheme. There is an appeals process, you could try your HR specialists (or whatever they are called now), but don't hold out much hope. Your best bet is to talk to an IFA who will advise you to make additional payments to another private pension scheme (probably).
I also think you have missed out: Signing up for pension 05 was the gamble you had to take, taking into account the liklihood of you being offered PAS in the near future. Unfortunately you didn't rate youreself worthy enough and have missed out once and for all.
Pompey Sailor's post raises a good point though: If you were paying AVCs, or Free standing AVCs through a finance company, and you transfer to PAS, do you have to stop paying them as all of your pay is now pensionable?
I got offered PA around about the same time as the pension decision was needed. I took PA but stayed on the old pension as, although I will be missing out if I stay until 55, it does offer a far better early get out should I need it. I love the job still but I can't see me making it to the finishing tape.
PompeySailor
3rd Oct 2006, 15:28
I also think you have missed out: Signing up for pension 05 was the gamble you had to take, taking into account the liklihood of you being offered PAS in the near future. Unfortunately you didn't rate youreself worthy enough and have missed out once and for all.
Pompey Sailor's post raises a good point though: If you were paying AVCs, or Free standing AVCs through a finance company, and you transfer to PAS, do you have to stop paying them as all of your pay is now pensionable?
Not sure as I was paying Death in Service AVCs under the pay system (direct from pay) and once it all changed with regards to insurance, etc I got the premiums back!
Talk to an IFA, because the company you pay them to will say "keep paying" because they are getting a percentage!