NRA 65

[Deccalabel]

Took my NRA at 60 and have recently left RM in April 35 years done .lwas told I didn't have to take my my NRA 65 I could let it run until I reached 65 without losing 10% due to be aged 63 now. Iam section c member with small AVC worth £11k. Would I be losing out by doing this and not taking my 65 pension benefits/suppument now.

[RobertT]

Should I take my pension before NRA? That's probably the most talked about subject on this forum over the years!

As a general rule and based on averages it's best to take it at NRA, because the earlier you take it, the less you'll get both monthly and overall.
That is certainly true of those who take theirs at the earliest possible opportunity, at age 55, and particularly while still working!

But as you get older and the early payment reduction gets less, the potential loss reduces too, and the longer you have to live to break even.

I would suggest you do your maths using your figures and your chosen options i.e max lump sum, max pension, etc. While also factoring in the likely tax charges on the AVC and Cash Balance, in relation to your income and see how taking it now compares to at 65.

Ultimately, it's a personal choice based on your own circumstances, aims, etc.

[Deccalabel]

Thanks for that Robert so stick with it unti I reach 65 and everything will just increase with nominal amounts

[RobertT]

It'll increase with inflation whether you take it or not.

[gandhi]

It'll increase with inflation whether you take it or not.

RobertT,my partner started 2000 and has an nra60 figures with rmps of 4500 per year but her rmpp she got through this week has her nra 60 as zero would this be correct?she has nra65 figures and the cash balance one but shouldn’t she have an nra60 sum with rmpp or am I missing something?

[heapsy]

No it doesn't say 0. If you read carefully, it say the Final Salary pension (NRA60) INCREASE is 0. (same as mine) She needs to see the other statement when it arrives. Usually this is around mid October. This will show your yearly increase based on the % uplift awarded, this year 5%. The pension statements are ridiculously complicated and probably need reading twice. Tbh they should be redesigned.

[gandhi]

No it doesn't say 0. If you read carefully, it say the Final Salary pension (NRA60) INCREASE is 0. (same as mine) She needs to see the other statement when it arrives. Usually this is around mid October. This will show your yearly increase based on the % uplift awarded, this year 5%. The pension statements are ridiculously complicated and probably need reading twice. Tbh they should be redesigned.

Ok thanks for that just seems that her rmps one at 4500 a year at 60 seems abit low it says 4500 and that won’t really go up now will it?shes 55 now and done 23 years now

[heapsy]

I'm waiting for my statement from Capita, so I'll know more when that arrives.

[gandhi]

I'm waiting for my statement from Capita, so I'll know more when that arrives.

Yeah my partner the same,just don’t understand on it why when it moved to rmpp your 60benefits don’t increase with the rmpp but they do with capita!I just thought my partners nra 60 would have been more than 4500 after 23 years service!

[RobertT]

The NRA60 only relates to service up to 2010, so only about 10 years worth in your partners case. The RMSPS/Capita are responsible for paying the vast majority of those benefits.
Personally I would say £4,500 for 10 years isn't too bad, particularly in the context of RM pensions.

She'll also have 8 years of NRA65(2010-2018) the first two years of which are also via the RMSPS.
The rest and the Cash Balance is with the RMPP.

[mags999]

No way you would get get 4500 for 10 years pension thats 90 quid a week I barely get that and I did nearly 20 although I did take mine early just seems a lot