Leaving a Defined Benefit plan for defined contribution

J

JaneBloggs

Guest
Hi ALl,

I'm moving job and I'm not sure what to do about a pension. I am 25 going on 26. I have been in the scheme 3-4 years. I have paid contributions. Should I leave it where it is. My new pension my employers will put in 5%. I think it think one they put in about 7%.

thanks,
JB.
 
Hi Jane, and welcome to AAM

Have a read of the Defined Benefit and Defined Contribution key posts at the top of these pages. If you have any more questions or if you dont understand the FAQ's then be sure and post them here.


ajapale
 
Hi Jane - Can you be more specific in your question(s)? Are you asking about what to do with the contributions in your old scheme? If so, what options are the trustees of the scheme offering you?

Or are you asking about what to do with your new employer?
 
I'm bascially wondering should I cash in my old pension and say use it as a deposit for a house.
Or leave it where it is.
Or move it to my new pension plan.

Thanks guys!
 
Hi Jane

The following pdf document from the pensions board is usefull.

I dont think you have the option to "cash" in your old pension. After that the general concencus seems to be to preserve your benefit in the old Defined Benefit scheme.

How secure it the company you are leaving?

Since this area of pensions is "among the most complex in the Pensions Act" you might want to seek independent financial advice.

[broken link removed]


ajapale
 
Thanks - of course you're right I can't cash it in my mistake.
I think I will leave it where it is.
The company I'm leaving is very secure.
thanks for your advice.

JB.
 
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