DB Pension, redundancy and not seeking new employment

[3dolls]

Being made redundant after 15 years. Company pension scheme is DB. I'm intending to become a SAHM, or if funds are low, I'd look for a few hours here and there to fit in around school time. In other words, the pension will most likely not be added to for the foreseeable future.

I had planned to transfer my pension to a PRSA, but I see from the posts here that this may not be an option. I can also freeze it and leave it where it is. Mr 3Dolls is not keen on leaving it - for some reason he has it in his head that it'll all go pear-shaped and the money will disappear. I'm not sure why he thinks this, have tried and failed numerous times to get a clear explanation from him - he usually just calls it a pyramid scheme! I've also seen a number of reports in the business media about DB schemes being changed. I confess I'm not very knowledgeable on the area of pensions, so I'm not sure what my best option is. Meeting the pension people this week, and I assume they'll want me to leave it where it is - but they aren't going to give impartial advice, are they?

My employer seems to have an uncertain future - the Irish presence, that is, not the corporate part. What happens to the pension pot if it does shut down?

I also saw mention of a buy-out bond. Hadn't heard of this - can someone point me to an explanation of this?

 

[Guest126]

You could not transfer to PRSA unless plan is being wound up.

The "pension people" should be impartial - if anything they may encourage you to transfer to a buy-out bond if they can get some commission on the buy-out bond so be wary of that.

If company closes down the pension plan would usually be wound-up in which case you would be obliged to transfer to a PRSA or buy-out bond.

A buy-out bond replicates your benefits in the company scheme but it does that through a contract in your own name with an insurance company (of your choice).