RMSPS Statement

[freespeech]

Just looked at an old statement from 2009.

It saysTotal Final Salary service at 31/3/2009 = 13 years 85 days. Almost 5yrs of that was transferred in from a different pension scheme.

Todays statement section C says total service = 17yrs and 84 days.

Am I missing something here, because even allowing for the new scheme in 2018 and adding another 3 yrs on that only totals 20yrs service when it should be 25.

The final salary scheme closed in 2012 so service will only ever be up until then regardless of how long you stay with the business. Your salary at that point would have also stopped and only accrued the yearly increases too instead of rising with pay rises (although there were some exceptions to that).

......it should show your service as exactly the same as last years statement (for final salary).

[RobertT]

Just looked at an old statement from 2009.

It saysTotal Final Salary service at 31/3/2009 = 13 years 85 days. Almost 5yrs of that was transferred in from a different pension scheme.

Todays statement section C says total service = 17yrs and 84 days.

Am I missing something here, because even allowing for the new scheme in 2018 and adding another 3 yrs on that only totals 20yrs service when it should be 25.

Have you spent some of your RM service as a part timer?

If you have, you will have built up pension a pro-rata basis during that time. So your pension years will be less than your actual years.

Also, the RMSPS statement only applies to service up to 2012 , which is the reason for your confusion.

The RMPP statement applies from 2012 onwards.

[RobertT]

The final salary scheme closed in 2012 so service will only ever be up until then regardless of how long you stay with the business. Your salary at that point would have also stopped and only accrued the yearly increases too instead of rising with pay rises (although there were some exceptions to that).

The final salary scheme closed in 2008.

[RTP]

Just looked at an old statement from 2009.

It saysTotal Final Salary service at 31/3/2009 = 13 years 85 days. Almost 5yrs of that was transferred in from a different pension scheme.

Todays statement section C says total service = 17yrs and 84 days.

Am I missing something here, because even allowing for the new scheme in 2018 and adding another 3 yrs on that only totals 20yrs service when it should be 25.

Have you spent some of your RM service as a part timer?

If you have, you will have built up pension a pro-rata basis during that time. So your pension years will be less than your actual years.

Also, the RMSPS statement only applies to service up to 2012 , which is the reason for your confusion.

The RMPP statement applies from 2012 onwards.

No. I should have 25yrs in total pension now.

[RTP]

All fulltime.

[RobertT]

The final salary scheme closed in 2008, therefore you had 13 years and 85 days in 2008 too.

From the info you provided, you have:

13 years 85 days of final salary of which 5 was transferred in, so I assume you joined the pension scheme in aprox. early 2000?

You then accrued 10 years in the CSDB/CARE scheme from 2008-2018.

Then 3 years up to 31st March 2021 in the DBCBS.

I make that a total of roughly 26 years service.

The RMSPS statement relates to service up to 2012, so includes all final salary and 4 years of CARE.
The RMPP statement is for service 2012-2021.

You need to read both statements to get a full picture of your total entitlement.

there are some video guides on the RMPP website which might help to understand things better: https://www.royalmailpensionplan.co.uk/ ... ia-library

[Stormproof]

I received the ‘what your pension is worth’ letter today. Been paying in since 2004 and did a total of 4 year part time. According to the letter I only have 8 years service. How do they work that out?

Sorry just read your response to previous query. Why is it so confusing?

[RobertT]

Sorry just read your response to previous query. Why is it so confusing?

Because there's been loads of changes to the RM pension scheme/s over the years.

[RTP]

The final salary scheme closed in 2008, therefore you had 13 years and 85 days in 2008 too.

From the info you provided, you have:

13 years 85 years of final salary of which 5 was transferred in, so I assume you joined the pension scheme in aprox. early 2000?

You then accrued 10 years in the CSDB/CARE scheme from 2008-2018.

Then 3 years up to 31st March 2021 in the DBCBS.

I make that a total of roughly 26 years service.

The RMSPS statement relates to service up to 2012, so includes all final salary and 4 years of CARE.
The RMPP statement is for service 2012-2021.

You need to read both statements to get a full picture of your total entitlement.

there are some video guides on the RMPP website which might help to understand things better: https://www.royalmailpensionplan.co.uk/ ... ia-library

Yes early 2000. Many thanks RobertT.

Royal Mail really do need to simplify these pension statements and put them all into one. Surely they can work together with Capita to do this and stop all the confusion.

[RobertT]

This is only the second year we've had statements from both! But it isn't easy to understand. So here is a fairly simple way to find out what your section C Age60 and Age65 benefits add up to:

For your Age60 pension add up the following from your RMSPS statement:
Basic pension + supplement + pension increase amount = Age60 RMSPS total

And from your RMPP statement:
Final salary addition + supplement addition = Age60 RMPP total

Add the two Age60 answers together to get your total Age60 pension amount.

For your Age65 pension add up from your RMSPS statement:
Basic CSDB pension + CSDB supplement + pension increase amount = Age65 RMSPS total

And from your RMPP statement:
Basic CSDB pension + CSDB supplement = Age65 RMPP total

Add the two Age65 answers together to get your total Age65 pension amount

The Cash Balance amount is usually taken with your Age65 benefits, but can also be taken with your Age60, the pensions people will advise when you're applying.

*The supplement is only payable to section C members and if you've left RM, but will stop when you reach state pension age

If you're in section B, the maths will be similar but you'll also have lump sums to add on.

[renrag40]

Anyone received this yet? Most seem to have RMPP. You would have thought a bit of coordination would have been useful......

I received mine today.

[NWpostie]

I've got mine and its pretty much what I expected to get, roughly £1,300 a month ish, that's before any lump which I would imagine reduce my annual pension, my AVC is expected to pay toward that and I plan to use the lump sum divided over 7 years to bridge the gap until my state pension kicks in.

With 6 years to go I have more time to save up and in tandem with my AVC and I assume with CDC AVC as well.

[freespeech]

This is only the second year we've had statements from both! But it isn't easy to understand. So here is a fairly simple way to find out what your section C Age60 and Age65 benefits add up to:

For your Age60 pension add up the following from your RMSPS statement:
Basic pension + supplement + pension increase amount = Age60 RMSPS total

And from your RMPP statement:
Final salary addition + supplement addition = Age60 RMPP total

Add the two Age60 answers together to get your total Age60 pension amount.

For your Age65 pension add up from your RMSPS statement:
Basic CSDB pension + CSDB supplement + pension increase amount = Age65 RMSPS total

And from your RMPP statement:
Basic CSDB pension + CSDB supplement = Age65 RMPP total

Add the two Age65 answers together to get your total Age65 pension amount

The Cash Balance amount is usually taken with your Age65 benefits, but can also be taken with your Age60, the pensions people will advise when you're applying.

*The supplement is only payable to section C members and if you've left RM, but will stop when you reach state pension age

If you're in section B, the maths will be similar but you'll also have lump sums to add on.

I think you've repeated RMSPS twice for NRA65. My statement makes no reference to CSDB - it just repeats the same headings as NRA60.

I also noticed that the RMSPS statements shows pension and supplement the same as last year but the pension increase amount has changed. In my case by 6% so the overall increase was back to the expected 1.1%.

RMSPS also splits spouse pension into NRA60/65 but RMPP just gives one figure.

[RobertT]

I think you've repeated RMSPS twice for NRA65. My statement makes no reference to CSDB - it just repeats the same headings as NRA60.

Yes it says 'basic annual pension' on the RMSPS statement, but the NRA65 element of your RMSPS benefits is for the years 2010-2012, so that is CSDB pension!

The CSDB scheme started in 2008 and closed in 2018.

RMSPS pay out years 2008-2012 of CSDB, RMPP pay 2012-2018.

NRA60 is for years 2008-2010 of CSDB(plus everything beforehand), NRA65 is 2010-2018(plus DBCBS).

[freespeech]

I've got mine and its pretty much what I expected to get, roughly £1,300 a month ish, that's before any lump which I would imagine reduce my annual pension, my AVC is expected to pay toward that and I plan to use the lump sum divided over 7 years to bridge the gap until my state pension kicks in.

With 6 years to go I have more time to save up and in tandem with my AVC and I assume with CDC AVC as well.

Roughly £15600? What is that for RMPP or both statements.....NRA60 only or both?