Private Sector Pension Query

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Mopsy

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My OH works in the financial sector.

He is in his late 50's and is hoping to last in the job until 65. However, he says that rumour has it within the organisation he works for that his age group could be pensioned off without reaching the pension age. There are about 200 of 55+ in employment there. Ideally, he would prefer to work to max age. No lump sum would apply(only if you reach pension age where you could take it and then draw the rest of pension).

Is this a possibility? I am not very well up on these pension rights!
 
Mopsy said:
My OH works in the financial sector.

He is in his late 50's and is hoping to last in the job until 65. However, he says that rumour has it within the organisation he works for that his age group could be pensioned off without reaching the pension age. There are about 200 of 55+ in employment there. Ideally, he would prefer to work to max age. No lump sum would apply(only if you reach pension age where you could take it and then draw the rest of pension).

Is this a possibility? I am not very well up on these pension rights!
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Not exactly sure what your question is? He wants to work till NRA but he may be pensioned off can his employers do this? or is it, he maybe made take early retirement and wants to defer his pension to NRA so he will get a higher pension as it is being paid for less years?
 
Yes, can his employers do this? That is what I am asking. Can they pension him off before NRA.
 
Well they can make him redundant - he doesn't have to take his pension before NRA , but will only have the dole as income. They will probably incentivise this group by giving them higher pensions than they round gave got by retiring early normally.
 
Yes as Don siad they can pensions him off. Employers usually pay incentives to the pension scheme to take account of the lost years service and they would normally reduce the penanlties for retireing early.

If this is to happen it would be very worth while getting in touch with a good pension's advisor as your husband maybe able to make a much higher AVC contribution than he would normally to access more tax free cash and get a higher pension (especially if he is in a defined benefit scheme)
 
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