Section C member will be 64 Feb 2022

[Fishtoft4]

Hi I am currently aged 63, 64 in Feb 2022 took my age 60 benefits at 60. I am a Section C member and took the option of larger pension and no lump sum as best option for me. Having checked online I will have contributed enough for a full state pension on my 64 birthday payable at aged 66. If I were to leave the business on my 64 birthday could draw on my age 65 pension without loss or do you know the percentage I would loose by drawing it early. Am I correct in believing as a section C member I would also receive a supplement payable until state pension age if I left the business and if so how much would it be please. If I took medical retirement would this have an impact on any loss of my age 65 benefits or the supplement. Just trying to work out if I could go early thank you so much.

[RobertT]

It's a 5% reduction for each year you take your NRA60 and/or NRA65 early, with a proportional rate for part years.

The supplement was worked out as 1/60th of the Lower Earnings Deduction for each year of pensionable service, so will obviously vary from person to person. Your previous annual statements will give you a good idea of how much to expect.

After you've left RM, you should get supplement payments that relate to both your NRA60 and NRA65 until SPA.

I'm no expert on IHR, but there shouldn't be any negative effect on your pension as far as I'm aware.

[Fishtoft4]

As always Robert I and I’m sure many other people are truly grateful for knowledge and input thank you so much .

[freespeech]

On the flip side it may be 5% less BUT it's an extra year of money.......that generally takes an awful long time to recoup.