How much does RM contribute to the pension

[PFdriver488]

I’ve been searching away on google and can’t find a straight answer. I joined after 2020. I know my contribution is 6% but I cannot find exactly what they pay in?

Thanks

[Jefferson Starfish]

Youre in the rmdcp. They pay 10% to your 6%.

[RobertT]

The member guide has all the contribution levels:
https://adviser.scottishwidows.co.uk/as ... 0353sw.pdf

[Jack1960]

Yes if you pay 6 they pay 10 , i think you can also pay AVCs, wish i had done sooner, i only did so after i first starting reading about them on this forum thanks to Robert T

[yubin282]

I’ve been searching away on google and can’t find a straight answer. I joined after 2020. I know my contribution is 6% but I cannot find exactly what they pay in?

Thanks

If your full time the total contribution is around £73 per week.

[freespeech]

I’ve been searching away on google and can’t find a straight answer. I joined after 2020. I know my contribution is 6% but I cannot find exactly what they pay in?

Thanks

If your full time the total contribution is around £73 per week.

For a postman......this isn't just a postie site.

[PFdriver488]

Youre in the rmdcp. They pay 10% to your 6%.

That’s great, thanks for the reply

[PFdriver488]

The member guide has all the contribution levels:
https://adviser.scottishwidows.co.uk/as ... 0353sw.pdf

Awesome I’ll have a read of that, thanks

[PFdriver488]

Yes if you pay 6 they pay 10 , i think you can also pay AVCs, wish i had done sooner, i only did so after i first starting reading about them on this forum thanks to Robert T

I see Robert has linked some info for me to read above, I have never heard of those, I joined from self employment so I’ll have to read up about those. Starting a pension late in life is quite worrying

[short bloke]

Just so information.
If you had done 5 years before 2018 you should have automatically been enrolled in the DBCBS (Defined benefit cash balance scheme) and if you hadn't done 5 years by 2018, you could now enrol in the DBCBS yourself once you hit 5 years. The difference between the DC (Defined contributions) and the DBCBS is in the DC as stated above you can put in up to 6% and Royal Mail put in 10% in the DBCBS you put 6% and Royal Mail pays in 13.6%

Our branch and the Union did a lot of work on this in 2019 and 2020 on members who hadn't hit the 5 years by 2018 and I may be wrong I believe that Royal Mail now sends a form out when you hit 5 years. but during the course of going to an office and a member asking how to up his contributions, it has come to light that some people with a lot more service than five years before 2018 have not been automatically been enrolled on to the DBCBS scheme and just in 3 weeks we have found between 10 to 15 members who should have automatically been moved to the DBCBS scheme.

For some, this could be irrelevant, as at some point we will all be moved on to the new pension scheme but for others, it might be worth thinking about.

[RobertT]

Anyone who joined RM after 2008 will have only been able to join the RMDCP, and from 2018 anyone who's been in that for 5+ years should be given the option to join DBCBS instead. In their case it will be via section F of the RMPP.

Nobody who's already in the RMDCP will be auto-enrolled into the DBCBS, regardless of their level of service. They should be written to, giving them the opportunity to change. It's up to the individual if they want to!
This RM website tells you more: https://rmdcp.uk/how-your-plan-works/yo ... ove-to-cbs

It's also worth noting that although RM's contribution rate into the DBCBS is higher at 13.6%, the definition of pensionable pay is different depending on the pension/section you're in.

a. For RMDCP members, it's just basic pay, plus for part timers any overtime up to full time hours.
b. For section F & C members, it's just basic pay(no OT for part timers), plus pensionable allowances. But they also have the Lower Earnings Deduction which reduces their pay for pension purposes.
c. Section A/B is the same as F & C, except they don't have the LED.

There's flexibility and investment issues that might sway the individual one way or another, aswell as the amounts of money going in.