taking pension early

[End of the road]

I presume you do not have to take all the pension early, the Final salary pension that was frozen last year has not risen in value. I would expect it will be the same now as when I reach sixty in three years time, it would seem to make sense to me to have that in my hands where I know I can make the lump sum grow in the next three years. I know it will cost me 15% but the money is in there hands and is losing money all the time, do I really trust our pension people to keep my pension ticking over ................................ SO THATS A NO THEN

I know inflation is at the moment very low and could remain that way thus preserving the pensions value, but then again the Tories could come in and mess it all up. Taking it now could preserve a large slice of that if things go bad next year, TNT anyone and don't give me we will be protected. I trust no one where my money is involved and the tories would seel/give us away in flash without a thought for the pension and no one would give a stuff outside the workforce.

I could do with the money now by 66 I may be to inform to enjoy it, life is for living and now the bloody tories have told me I am expected to continue for another year. Sorry but after years serving my country in the forces and then 25 years in RM I need to do something for me and my family now whilst I can. Stuff retirement too many people save nothing for their old age or contribute zero to a pension fund and get extra help from the government. So having a bit less can actually help you as I know a few retired postmen and they all complain that they get no extra help because they get just too much from the old private pension.



The CSDB pension I would run on until til either

a) retire at 65

b) I get medically retired

c) TNT take over and I get the bullet

d) Snuff it

e) Carted off to the funny farm by my family

thoughts ?

[baldrick]

Eotr I'm in more or less the same position as you, though with less than 2 years to go to 60.
I was paying into an Equitable Life AVC, so I already faced receiving less pension than I had
hoped for, even before RM froze the final salary scheme last year.
It is worrying not knowing what will come next, with Brydon threatening total closure of the
scheme, and the likelihood of a Conservative Government next year.
But I would not take my pension now if it meant a 10% cut. I don't think it is as good as some
seem to think, and 10% is a big reduction, especially if you are expecting to have to live on it
for a good few years yet.
Of course it depends on one's personal circumstances and life expectancy though.

[RobertT]

EOTR

The Final Salary scheme is still based on your pay when you leave the job,so if we get a pay rise next year then your pension will go up aswell.

The pension you've built up so far is protected by law unless RM go bust in which case you should still get 90%.It's only future pensions they can change.

The current rate of pension credit is £130 per week for a single person and £198 for a couple. So if your state pension,S2P,RM Pension,etc adds up to less than that you are effectively saving in your pension for nothing and a relatively short amount of service with RM will take you over this limit,probably less than 10 years.

[ballee]

If I decide to stay after 60 will I still get my pension and my wages.

[baldrick]

If I decide to stay after 60 will I still get my pension and my wages.

You will still (at present anyway) be able to take any pension accrued up to March 2010 when
you reach 60, if you want to, and continue to work.

[stodgy88]

adding to robert t ,s point ,thats why im taking mine now -plus if you get lumpsum at 60 any state help will be means tested and this will be included.if i take my pension now and lumpsum can be taken, at least at 60 i can say i had lumpsum 8 years ago and could have all gone ,allegedlly .

[End of the road]

I have gone into this a bit more today and applied to the pension unit for my figures.

They told me that I will the full pension I would have got when I reached 60 ( in 3 years) minus 5% a year ( 15%) and I could still contribute from the date of the settlement into the pension fund. This would allow me to build upto my 66 th ( Thanks tory tw@s ) a further albeit smaller pension pot.

I am going to get some expert advice shortly from UCW HQ as I have had a lot of interest locally and I understand across the whole country there has been an explosion of requests for information. I am not saying I will take it or that is right for everyone, but I am not getting any younger and life can and does take nasty turns.

I have seen far too many of my comrades leave the job and die within weeks/months what is the point in that, this way I would get an extra bit of cash to help the kids out/holidays/ etc.

When I get more info I will post it up as I think many may be interested and at leats people can apply and then make a decision for themselves with more facts to hand then we currently have.

[End of the road]

I just hope many who are between 50- 54 and are thinking of taking there pension early to apply for there figures soon as they will lose the right to early taking of pensions in April. You will have to be 55 or over in April next year and there is only small window of opportunity , once its gone there is no going back.

You do need to take advice from a finacial adviser and its not for everyone, but at least have a look get the figures, take advice etc.

The Chesterfield pension service centre is on 0114 241 4545 email pensions.change@royalmail.com

or by post to PO BOX 500, Chesterfield, S49 1WX

They require your fullname, date of birth, and National insurance number.

[SeriousSam]

The pension scheme seems pretty coherent with government guidelines tbh

[End of the road]

I recieved my information on Saturday and it was around what I had worked it out to be. I am going to take the benefts available now and continue to pay into the pension fund pot 3. If I stay till I am sixty five I will have another 7.10 years of pension AND OF COURSE THE tORIES COULD ADD ANOTHER YEAR TO THAT YET

Anyone else got there's yet ?

[stodgy88]

was the lumpsum reduced bby around 5% P.A if you dont mind me asking -cheers

[End of the road]

was the lumpsum reduced bby around 5% P.A if you dont mind me asking -cheers

yes it is

I have less then 3 years to go until I am 60 and I still have the forms in front of me even though my financial advisor has told me its quite good and worth taking around the 12% hit.

I have other investments that will come into play in the next few years and the money would be very handy just now.

We shall see

[End of the road]

The pension HQ has been swamped by requests for statements and if our office is any indication thousands of us across the country will be taking our pension early. The final date for applying for a statement has now been extended to the 8th February 2010 and anyone who has returned their forms may get another set of statements, don't worry.

If in doubt or you want to check to see if your form has been returned please phone 0114 241 4545 and have your Pension plan ref No ready ( its the one on the top of the pension statement).

This I fear will add to the gap in the fund and with many more taking EVR this will greatly effect the fund, I do not think they expected as many to apply as they have got.

[dparr59]

I took my pension at 50 in August last year I had in just over 25 years service when I left royal mail in 2006
there was then 3 choices on offer :
offer 1 is what I took was 18,500 lump sum and about £60 a week
offer 2 was £10,00 lump sum and £65 a week
offer 3 was no lump sum and £70 a week




thanks
David

[RobertT]

I took my pension at 50 in August last year I had in just over 25 years service when I left royal mail in 2006
there was then 3 choices on offer :
offer 1 is what I took was 18,500 lump sum and about £60 a week
offer 2 was £10,00 lump sum and £65 a week
offer 3 was no lump sum and £70 a week

A great example of why it's not a good idea to take your pension early!