Where are my contributions going?

[einastronaut]

I can't seem to find where I am currently contributing. I still have access to the Money4Life/Scottish Widows account that holds my original Defined Contribution Scheme contributions, but RM haven't contributed to that since July 2021. I think I agreed to move to, or was automatically moved to, the new DBCBS(?) or whatever scheme replaced it, a few years ago, but have received no communication from them since. Who is this with and where is the portal for accessing this account?

[RobertT]

After 5 years of paying into the RMDCP, you would have been given the choice to join section F of the RMPP and pay into the DBCBS instead. It isn't automatic!

There is no ability to view your DBCBS balance online. Instead you should be getting an annual paper statement. They aren't usually dispatched until around September/October, although they're dated the end of March.

It's not too difficult to work out roughly how much is in your pot yourself, using the contribution figures on your wage slip.

For more info see the RMPP website: https://www.royalmailpensionplan.co.uk/

You might also find this useful: https://rmdcp.uk/how-your-plan-works/yo ... ove-to-cbs

[einastronaut]

There is no ability to view your DBCBS balance online. Instead you should be getting an annual paper statement. They aren't usually dispatched until around September/October, although they're dated the end of March.

Oh right, thank you Robert. That explains why I couldn't find it! Do you know if there will there be a portal in the future?

Given that there's no way of accessing at it, can one change the allocations/blending like one could do with the defined contribution scheme - like shift contributions from Royal Mail's own 10 Year LifeCycle Strategy to say, weighted towards Growth/Ethical Equity funds etc, or is it managed in a way incompatible with customization?

Also, just to clarify, are the funds in the now unused Defined Contribution Scheme account locked there forever until retirement, or can they be moved elsewhere? From what I can tell they're just being eroded slowly by monthly "Fund fees" for the aforementioned "10 Year LifeCycle Strategy". I assume I'm also now paying similar "Fund fees" in the new DBCBS (even though there's no way to see it). If the fees are a flat rate, seems like a fairly lucrative thing someone's got going on, shuffling everyone onto a new pension scheme every couple of years. Fees upon fees and little to no capital appreciation.

[RobertT]

Oh right, thank you Robert. That explains why I couldn't find it! Do you know if there will there be a portal in the future?

The DBCBS was only supposed to be a transitional scheme until the new CDC pension comes in. But it's actually been going for over 5 years already, with maybe another 6-12 months to go until the latest batch of legislation makes CDC possible. Assuming there's no more hold ups!!!

So I think if they were going to provide a portal, they would have done it by now.

Given that there's no way of accessing at it, can one change the allocations/blending like one could do with the defined contribution scheme - like shift contributions from Royal Mail's own 10 Year LifeCycle Strategy to say, weighted towards Growth/Ethical Equity funds etc, or is it managed in a way incompatible with customization?

There's no way of changing the DBCBS investments, as it's not the same type of scheme. See the video on the 2nd link I provided above, for more info on the differences.

Also, just to clarify, are the funds in the now unused Defined Contribution Scheme account locked there forever until retirement, or can they be moved elsewhere? From what I can tell they're just being eroded slowly by monthly "Fund fees" for the aforementioned "10 Year LifeCycle Strategy". I assume I'm also now paying similar "Fund fees" in the new DBCBS (even though there's no way to see it). If the fees are a flat rate, seems like a fairly lucrative thing someone's got going on, shuffling everyone onto a new pension scheme every couple of years. Fees upon fees and little to no capital appreciation.

The Lifecycle Strategy is an automatic fund allocation system, based on your age in relation to your chosen retirement age. Basically, when you're younger it invests in growth funds and as you near retirement, it transfers into traditionally safe havens such as bonds/gilts. Although those haven't performed well in recent times.

There's nothing stopping you from changing what you're invested in via the RMDCP.
Full details of the RMDCP are here: https://www.scottishwidows.co.uk/save/r ... cplan.html
Or you could transfer that money out into a personal pension, if you want to. Meaning a much larger choice of investments.

The RMDCP is an individual scheme, so each member can chose their own funds from what's available. Charges will probably vary a bit between the funds, meaning one person may pay more in fees than another.

As the DBCBS is basically one big pot of money invested for the benefit of all members, the amount each investment house(and there's a lot of them) charge isn't really relevant to us as individuals. But they will all be levying a fee!

The DBCBS is designed to increase each year by discretionary bonuses, with the aim being at least the level of CPI(as of the previous September) and a maximum of CPI + 4%.

So far those increases have been, with CPI in brackets:

2020 – 3.7%(1.7%)
2021 – 1.7%(0.5%)
2022 – 4.6%(3.1%)
2023 – 11.3%(10.1%)

Bearing in mind each increase is applied 12 months hence. So this years 11.3% was only added to your 2022 balance.