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Thread: BA end pension
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Old 10th May 2002, 19:21
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cwatters
 
Join Date: Dec 2001
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Perhaps not so bad?

I was under the impresion that a final salary scheme typically limited your pension to 40/60 ths of final salary - reduced further if you worked/contributed less than 40 years. By contrast "money purchase" schemes have an "unlimited" payout if the fund performs well (or a reduced payout if it doesn't).

Historically I thought money purchase schemes were better so I guess that the best type of pension scheme to have would be a 'Money Purchase' type with a 'final salary' guaranted minimum as well.
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