55 lump sum and monthly pension.

[comeracing]

Another 3 + years until im 55 but trying to plan ahead , been in pension since june 1996 , going on my 2 recent 2023 pension statements [ see photos ] , is anyone more clued up on the pension side of things than me have a rough idea on these 2023 figures how much lump sum and monthly pension i would be entitled too age 55 .

[comeracing]

Anyone out there surely who can help , i know as much about pensions as simon T had of running RM

[RobertT]

I'm not going to do your maths for you, as you can do that yourself!

It looks like you're in section C?

As a very rough guide:

Take your Age60 figures from both statements. Add them up and multiply by 20.
Subtract 5% for each year you want to take it before normal retirement age.
Work out 25% of that figure to get your lump sum.
Divide the remainder by 20 to get your reduced pension.

For example with an Age60 pension of £5k per year:

5,000 x 20 =100,000 – 25% = 75,000 / 4 = 18,750(lump sum)
75,000 – 18,750 = 56,250 / 20 = 2,812(reduced pension)

Repeat for Age65 and add the answers together, bearing in mind you can use the Cash Balance with NRA65 to fund the tax free lump sum.

[sweepster70]

What is the final salary pension addition?
Is this extra money that will be added to your pension pot, or is this an extra annual pension that you add to your final salary pension?

[RobertT]

What is the final salary pension addition?
Is this extra money that will be added to your pension pot, or is this an extra annual pension that you add to your final salary pension?

It's extra FS pension, so is included in Age60 benefits.

[sweepster70]

What is the final salary pension addition?
Is this extra money that will be added to your pension pot, or is this an extra annual pension that you add to your final salary pension?

It's extra FS pension, so is included in Age60 benefits.

Thanks Robert,
Sorry, but I don't fully understand your answer.
Mine is almost £2500. Is this an extra £2500 a year or just an extra £2500 added to your pension pot?

[freespeech]

What is the final salary pension addition?
Is this extra money that will be added to your pension pot, or is this an extra annual pension that you add to your final salary pension?

It's extra FS pension, so is included in Age60 benefits.

Thanks Robert,
Sorry, but I don't fully understand your answer.
Mine is almost £2500. Is this an extra £2500 a year or just an extra £2500 added to your pension pot?

It's per year.

[RobertT]

What is the final salary pension addition?
Is this extra money that will be added to your pension pot, or is this an extra annual pension that you add to your final salary pension?

It's extra FS pension, so is included in Age60 benefits.

Thanks Robert,
Sorry, but I don't fully understand your answer.
Mine is almost £2500. Is this an extra £2500 a year or just an extra £2500 added to your pension pot?

It's per year.

[sweepster70]

Wow!
Thank you very much for your answers. I wasn't expecting that.

[elvis]

Hi, after you e-Mail the Royal Mail pension plan about estimate request does anyone know how long it takes?
Please