Age 65 benefits query

[Fishtoft4]

On behalf of a colleague who took his age 60 pension at 55 and is now approaching his age 65 pension he is a section C member. His question is does he draw on his age 65 pension at 65 or are there any benefits in leaving it at present or can he contribute anymore into the scheme. If he draws on it would and could he remain in the RMDCP. Any opinions especially from Robert T would be much appreciated.

[fly-catchers]

There is no benefit in leaving his NRA65 beyond 65. You only lose money if you do! That particular scheme closed in March 31st 2018 for further contributions.

[Fishtoft4]

Thank you

[RobertT]

On behalf of a colleague who took his age 60 pension at 55 and is now approaching his age 65 pension he is a section C member. His question is does he draw on his age 65 pension at 65 or are there any benefits in leaving it at present or can he contribute anymore into the scheme. If he draws on it would and could he remain in the RMDCP. Any opinions especially from Robert T would be much appreciated.

Your colleague is in section C of the RMPP!

As fly-catchers says, we stopped accruing pension in 2018, but we have been building up a lump sum via the DBCBS since then. In your colleagues case, that lump sum will be paid out entirely with their NRA65 benefits.

There is no benefit to deferring taking any RM pension past NRA.

If your colleague continues to work for RM, they will become eligible to join the RM Defined Contribution Plan(RMDCP) administered by Scottish Widows, and I assume the CDC scheme when that replaces all existing RM schemes(expected to be sometime in 2021).

[Fishtoft4]

As always Robert thank you so much