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Pensions??

Royal Mail pension news and discussion.Please note the advise given in this forum is unofficial, please use the links we have for a more detailed response or see an independent financial adviser.
RoyalQuest
Posts: 155
Joined: 31 Aug 2009, 23:28
Gender: Male

Pensions??

Post by RoyalQuest »

Just a general question on pensions guys, I would be thankfull of any help.
If you have a works pension and your contract of employment gets cancelled due to illness, what happens to your pension? Can you cash it in??
Lincox
EX ROYAL MAIL
Posts: 3485
Joined: 09 Jan 2008, 18:07
Gender: Male

Re: Pensions??

Post by Lincox »

Has the company confirmed to you that you are unable to work in any capacity because of your medical condition. If this is the case then there should be some discussion going on with Royal Mail regarding the provision of an ill health pension. This is where the company's medical advisers have confirmed that you are unable to work in any capacity, and that you are eligible for ill health pension. Under these circumstances generally your pension will be based on the years of service that you would have completed with the company up to normal retirement age.
If this is not the case and you are able to work if not with Royal Mail but in some capacity elsewhere, then with Royal Mails consent you may be able to take your pension early, based on the number of years you have actually worked, and you would need to be over 50 years of age (possibly 55 now as I believe there may have been a change). Generally this would not be in your best interests as there would be some very high reductions as you would be taking your pension earlier than the normal pension retirement age. If you work elsewhere and there is a company pension, you should be able to transfer the benefits to your new employers scheme, which may be much more benefical than taking the Royal Mail pension now. You should seek independant financial advice before making any decisions. Please note that as an ex financial adviser I am basing this information of what I new to be the rules at that time (6-7 years ago) Times have changed and you should contact the Royal Mail Pensions Helpline for up to date info. They are very good. I have used them in the past.
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POSTMAN
SITE ADMINISTRATOR
Posts: 32695
Joined: 07 Aug 2006, 03:19
Gender: Male

Re: Pensions??

Post by POSTMAN »

Moved to the pension forum,we have a few regulars who look in here who seem clued up on this stuff.
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k979aaa
Posts: 12578
Joined: 03 Sep 2007, 19:14
Gender: Male
Location: THE NORTH

Re: Pensions??

Post by k979aaa »

How long have you worked for royalmail and been in the pension?.