Royal Mail Pension

GoonerTony · Post by **GoonerTony** » 28 Mar 2017, 14:50

Hello. July next year I will be 55 with 30 years service. What will be the situation regarding the lump sum of my pension that was frozen in 2009 (pops)and including the pension that was brought in after pops? How much lump sum will I be able to take out? Any ideas? Thanks

Post by **stephen500** » 28 Mar 2017, 15:19

You can ask for either the min or max lump sum.

daveyeff · Post by **daveyeff** » 28 Mar 2017, 15:44

my mate just took both of his. NRA 60 and NRA 65. he was 55 in October gone. 27 years service. his NRA 60 lump sum was £29000 reduced by 25% because he was taking it 5 years early. he got £21750.... his NRA 65 was reduced by 50%.(10 years early) he got £6500 off that one totalling £28250. he has a monthly pension of £380. also he is £15 a week better off in his pay as he no longer pays a weekly pension contribution. giving him £440 extra a month....less tax of course.. he is a degenerate nutcase gambler though so it wont last him long.

....that was the max lump sum in both cases.

Post by **RobertT** » 28 Mar 2017, 16:23

GoonerTony wrote:Hello. July next year I will be 55 with 30 years service. What will be the situation regarding the lump sum of my pension that was frozen in 2009 (pops)and including the pension that was brought in after pops? How much lump sum will I be able to take out? Any ideas? Thanks

A 5% per year reduction is applied when taking your pension early.

Pension accrued up to 31st March 2010 has a normal retirement age of 60. So if you’re intending on taking that at 55 a 25% reduction will apply to both the yearly income and the lump sum. The figures will be on your last annual statement.

Pension built up from 1st April 2010 to the expected closure to future accruals of the RMPP on 31st March 2018, has a NRA of 65. So taking that at 55 will see a 50% reduction. Your NRA65 figures aren’t displayed in black and white on your statement. But it’s not too difficult to work out what you’ve accrued up to statement date, what you accrue per year and so what the approximate total will be in April 2018.

Or wait until a few months before you hit 55 and get a forecast from the pensions people.

Taking your pension early and continuing to work isn’t generally a particularly good idea, due to the 5% per year reductions and the fact you’ll also be paying tax on it. A pension is to fund for your retirement afterall!
The union have produced a video giving you more info: http://www.royalmailchat.co.uk/communit ... 27&t=78857" onclick="window.open(this.href);return false;

Post by **stephen500** » 28 Mar 2017, 16:58

daveyeff wrote:my mate just took both of his. NRA 60 and NRA 65. he was 55 in October gone. 27 years service. his NRA 60 lump sum was £29000 reduced by 25% because he was taking it 5 years early. he got £21750.... his NRA 65 was reduced by 50%.(10 years early) he got £6500 off that one totalling £28250. he has a monthly pension of £380. also he is £15 a week better off in his pay as he no longer pays a weekly pension contribution. giving him £440 extra a month....less tax of course.. he is a degenerate nutcase gambler though so it wont last him long. ....that was the max lump sum in both cases.

Everyones is different. My NRA 60 pension max lump sum is £55,000 at 60 as I have full night allowance. I am presuming above is a postman on delivery working days etc.
I am 56 with 35 years service, with the last 18 years on nights.

daveyeff · Post by **daveyeff** » 28 Mar 2017, 17:08

stephen500 wrote:
daveyeff wrote:my mate just took both of his. NRA 60 and NRA 65. he was 55 in October gone. 27 years service. his NRA 60 lump sum was £29000 reduced by 25% because he was taking it 5 years early. he got £21750.... his NRA 65 was reduced by 50%.(10 years early) he got £6500 off that one totalling £28250. he has a monthly pension of £380. also he is £15 a week better off in his pay as he no longer pays a weekly pension contribution. giving him £440 extra a month....less tax of course.. he is a degenerate nutcase gambler though so it wont last him long. ....that was the max lump sum in both cases.
Everyones is different. My NRA 60 pension max lump sum is £55,000 at 60 as I have full night allowance. I am presuming above is a postman on delivery working days etc.
I am 56 with 35 years service, with the last 18 years on nights.

well you will have a much bigger pension obviously because you have 8 years more service and you have had 18 yrs nightshift which bumps it up considerably. if you had taken it last year though when you were 55 your lump sum would have been reduced by £13750. and yes he is a delivery postie...been on days for 27 yrs doing that.

Post by **stephen500** » 28 Mar 2017, 17:19

daveyeff wrote:
stephen500 wrote:
daveyeff wrote:my mate just took both of his. NRA 60 and NRA 65. he was 55 in October gone. 27 years service. his NRA 60 lump sum was £29000 reduced by 25% because he was taking it 5 years early. he got £21750.... his NRA 65 was reduced by 50%.(10 years early) he got £6500 off that one totalling £28250. he has a monthly pension of £380. also he is £15 a week better off in his pay as he no longer pays a weekly pension contribution. giving him £440 extra a month....less tax of course.. he is a degenerate nutcase gambler though so it wont last him long. ....that was the max lump sum in both cases.
Everyones is different. My NRA 60 pension max lump sum is £55,000 at 60 as I have full night allowance. I am presuming above is a postman on delivery working days etc.
I am 56 with 35 years service, with the last 18 years on nights.
well you will have a much bigger pension obviously because you have 8 years more service and you have had 18 yrs nightshift which bumps it up considerably. if you had taken it last year though when you were 55 your lump sum would have been reduced by £13750. and yes he is a delivery postie...been on days for 27 yrs doing that.

In a way that is awful as in my opinion a del postman does the hardest work.

daveyeff · Post by **daveyeff** » 28 Mar 2017, 18:13

there is no offence taken in what you say mate, its just the way it is. having said that, you want a medal for doing 18 yrs nightshift. I know I couldn't/wouldn't do it.

mark.cup · Post by **mark.cup** » 28 Mar 2017, 20:28

Is anyone else slightly shocked at some of the figures people accept when taking their money early?

heapsy · Post by **heapsy** » 28 Mar 2017, 22:12

mark.cup wrote:Is anyone else slightly shocked at some of the figures people accept when taking their money early?

Yes. Lots of debate about taking pensions early. Just think a lot don't consider the issue of if they run out of money too soon.

Post by **stephen500** » 29 Mar 2017, 06:58

daveyeff wrote:there is no offence taken in what you say mate, its just the way it is. having said that, you want a medal for doing 18 yrs nightshift. I know I couldn't/wouldn't do it.

The plus and minus of working nights. It's awful, but it does allow me to leave at 60. I haven't a clue how del postman carry on to 67. In my day as a dly postman I had at most 2 pouches.

tayfinn2 · Post by **tayfinn2** » 27 Nov 2017, 18:29

hi all, new on here but just have a few questions
i left royal mail on evr in 2004, i turned 55 on 20/11/17,
and i recieved my options letter for early pension,and just wondered if any one knows how long it takes for money to go into my bank,as letter stated they can release my money untill all forms have been returned,which was sent today. thank you any help would be great,
david

TheTrolleyMan · Post by **TheTrolleyMan** » 27 Nov 2017, 20:08

A colleague of mine has just turned 55 and he's about 7 weeks into the process , loads of different forms to fill in , so I'd say the sooner the better applying for it

tayfinn2 · Post by **tayfinn2** » 27 Nov 2017, 21:36

thank for that the trolley man