AVC to inactive pension

Discussion in 'Pensions' started by Steelman, Mar 16, 2017.

  1. Steelman

    Steelman Registered User

    I work for a small company in Construction Industry. I have the following pensions:

    Pension A: A pension with Aviva that I never contributed to myself. This pension was set up by my employer in 2001 and they paid money in for a number of years. However due to downturn in industry they stopped paying into this pension. So there is no annual payments to this pension. The last statement I got the value was circa €45,000
    Normal retirement age is stated as 60 on this pension.

    Pension B: A pension with Construction Workers Pension Scheme. My employer put me into this pension scheme about four years ago. Both my employer and myself make the standard weekly payments to this scheme (think its employer €21pw, employee €27pw)
    The value is circa €12,000 (inclusive of €4000 AVCs)
    Normal retirement age is stated as 65 on this pension.

    I am nearly 43 now and I do have a number of working years where I had no pension contributions so I am trying to build up my pension pot by making some small AVC's with a view to increasing these in a few years. For the past two years I made a €2,000 AVC to the Construction Workers Pension Scheme.

    I am planning to make a similar AVC soon, but I was wondering:

    Can I make the AVC to the Aviva pension even though there are no regular contributions?

    If I can, would it be better to make it to this pension given the earlier stated pension date?
  2. SBarrett

    SBarrett Frequent Poster

    Th AVC must go to the scheme you are contributing to.

    Don't worry about the retirement ages. If you retire at 60, you can access both funds from that age. It actually for your benefit that the normal retirement age of the current scheme is to 65. That means your employer has committed to making pension contributions until that age. If the retirement age was 60, they could cease paying into the scheme for you at that age, even if you carried on working.

  3. Steelman

    Steelman Registered User

    Thank you Steven. I will continue as before so.
    SBarrett likes this.