CDC pension - will contributions be PSE (similar)?

[yellowbelly]

I've looked in the booklet but can't see it specifically mentioned but will our contributions
be PSE similar to the current RMDCP i.e before tax and NIC's are made?

[RobertT]

PSE was introduced as a way for the RM to save on employer National Insurance Contributions, with the added benefit that we save on them too.

I can't think of a good reason why that won't continue to be the case with the CDC scheme, as well as with contributions into the Lump Sum Booster and AVC's.

[david3595]

PSE was introduced as a way for the RM to save on employer National Insurance Contributions, with the added benefit that we save on them too.

I can't think of a good reason why that won't continue to be the case with the CDC scheme, as well as with contributions into the Lump Sum Booster and AVC's.

I got a reply from someone at pensions Q + A if that’s the correct term to say AVC’s will continue in same format in new pension scheme as currently under RMPP

[RobertT]

PSE was introduced as a way for the RM to save on employer National Insurance Contributions, with the added benefit that we save on them too.

I can't think of a good reason why that won't continue to be the case with the CDC scheme, as well as with contributions into the Lump Sum Booster and AVC's.

I got a reply from someone at pensions Q + A if that’s the correct term to say AVC’s will continue in same format in new pension scheme as currently under RMPP

RM employees benefit from tax relief and PSE on all pension contributions via all RM schemes, not just AVC's. Assuming you stay within the limits!

The CDC AVC arrangement will probably be very similar to Flexiplan.