GeneralZod
Registered User
- Messages
- 1,198
I'm having trouble understanding DC pension rules because the restrictions seem unbelievably unfair.
Is it really the case that the maximum pension is limited to 2/3rds final salary even though there's a risk
the pension fund could end up at zero?
Shouldn't there be no cap or at least a higher cap to compensate for this extra risk. DB pensions don't have this risk.
The rules for calculating final salary look grossly unfair too.
They seem to prevent a gradual career wind down on lower salaries without very negatively affecting the size of the
pension that can be taken in the end.
Is it really the case that the maximum pension is limited to 2/3rds final salary even though there's a risk
the pension fund could end up at zero?
Shouldn't there be no cap or at least a higher cap to compensate for this extra risk. DB pensions don't have this risk.
The rules for calculating final salary look grossly unfair too.
They seem to prevent a gradual career wind down on lower salaries without very negatively affecting the size of the
pension that can be taken in the end.