J
Jumbo7
Guest
I have been contributing to a company pension scheme for approx 8.25 years. The company was sold recently and the DB scheme is being wound up and a new DC scheme is starting. I have recieved a statement from the pension managers outlining my preserved benefit and transfer value and I think there is a mistake!
According to a Pensions Board booklet the formula is as follows
A x B/C
A = average of the last 3 years pensionable salary
B = Length of service
C = No of years remaining if scheme continued
So
A = 45,000+45,000+48,000/3 = 46,000 less 1.5 times state pension = 31,000.
B = 8.25
C= 30
Preserved Benefit = €8,525
However the statement says €4,200.
How did they arrive at this figure?
How did they work out the transfer value which is about €16K?
Incidently, Irish Life will be the DC pension fund managers and in their AIM booklet page 15 they state that "Last year we paid out over €100 million to over 25,000 pensioners. You can rest assured your money is in safe hands" - Do the maths! I can't wait for my retirement pension of €76.92 per week! (€4,000/year)
According to a Pensions Board booklet the formula is as follows
A x B/C
A = average of the last 3 years pensionable salary
B = Length of service
C = No of years remaining if scheme continued
So
A = 45,000+45,000+48,000/3 = 46,000 less 1.5 times state pension = 31,000.
B = 8.25
C= 30
Preserved Benefit = €8,525
However the statement says €4,200.
How did they arrive at this figure?
How did they work out the transfer value which is about €16K?
Incidently, Irish Life will be the DC pension fund managers and in their AIM booklet page 15 they state that "Last year we paid out over €100 million to over 25,000 pensioners. You can rest assured your money is in safe hands" - Do the maths! I can't wait for my retirement pension of €76.92 per week! (€4,000/year)