Age pensions payable Till 85?

rks · Post by **rks** » 09 May 2020, 09:45

Is there a max age pension is payable Till, I did not thinkbtthere was, but having come across some illustration dated Aug 2019 it shows pensions paid up till age 85.
Could be just figure based with amount in pot?

Post by **RobertT** » 09 May 2020, 09:57

I don't know what illustration you're looking at, but as long as you have NRA60/NRA65 benefits you have a pension that will pay out until you die and then continue to pay out a spouses pension too, assuming you have one. That's what DB pensions do!
In practice the scheme will base their numbers on life expectancy figures, but they are only an average and will obviously vary from person to person.

If you also have a DC pension, then that is just a pot of money with options, and if you choose to use drawdown as an option then your pot could potentially run out at some point. That will depend on how much is in there, how quickly you spend it and how long you live. With anything left on your death passing to your estate.

rks · Post by **rks** » 09 May 2020, 10:12

Well I have nra60 and nra 65 pension, hope that's the same for everyone else thanks

Post by **RobertT** » 09 May 2020, 10:21

Anyone who joined RM after 1st April 2008 won't have either NRA60 or NRA65 benefits. They will only have had the option to join the RM Defined Contribution Plan, and subsequently(after 5 years in the RMDCP) the DBCBS via section F of the RMPP.

roadrunner bill · Post by **roadrunner bill** » 09 May 2020, 11:29

I joined royal mail 1991.. so will I have 17 years... section c.. will I get a good pension please.. and I'm still in royal mail..

Post by **RobertT** » 09 May 2020, 14:22

roadrunner bill wrote:I joined royal mail 1991.. so will I have 17 years... section c.. will I get a good pension please.. and I'm still in royal mail..

That's a how long is a piece of string question as it depends on whether you're full time, part time and your pensionable pay which will vary from person to person to some degree. Your annual illustration will give you more info!

And as you're still with RM, I assume you mean 27 years up to 2018 when the RMPP closed to future accrual plus 2 years of the DBCBS?

I'm in section C(normal walking postie) and if I had 27 years + 2 years of DBCBS, I would expect my benefits to be roughly in the region of:

NRA60 pension = £6,300 + supplement = £1,100
NRA65 pension = £2,600 + supplement = £500
DBCBS = £7,900

Figures are guestimates and would be reduced if taken before NRA.

You'll also have the state pension.

Post by **NorthernBoy** » 09 May 2020, 16:02

roadrunner bill wrote:I joined royal mail 1991.. so will I have 17 years... section c.. will I get a good pension please.. and I'm still in royal mail..

Just check your annual pension statement it will show you exactly what you will get. Remember taking NRA60 and 65 before normal retirement dates will mean around 5% reduction for each year.

Post by **RobertT** » 09 May 2020, 16:10

NorthernBoy wrote:
roadrunner bill wrote:I joined royal mail 1991.. so will I have 17 years... section c.. will I get a good pension please.. and I'm still in royal mail..
Just check your annual pension statement it will show you exactly what you will get. Remember taking NRA60 and 65 before normal retirement dates will mean around 5% reduction for each year.

The last annual illustration for current employees to be in NRA60 & NRA65 format was 2016's, since then they've been in final salary & CSDB format. So a little basic maths is needed to get rough figures of the pension we're actually likely to get.

roadrunner bill · Post by **roadrunner bill** » 10 May 2020, 10:10

Sorry, I didn't mention full time... thank you Robert for you time and information...

Post by **stephen500** » 10 May 2020, 14:06

rks wrote:Is there a max age pension is payable Till, I did not thinkbtthere was, but having come across some illustration dated Aug 2019 it shows pensions paid up till age 85.
Could be just figure based with amount in pot?

As you said yourself, this will undoubtably mean the pot and is used, imho, so they can have some idea for acturial purposes, how much money may be required in a pension scheme. ie to get your pot it is the amount x 20 + your lump sum and I am guessing this 20 is used as an average of the life span, so they can plan. I don't know, But Robert T is right, the pension is yours till you die and for section B, your other half gets 50% widow/widowers pension for the rest of his/her life.