I am a pre-2004 entrant and joined public sector at the age of 30 so will not have full service even if I stay until 65. I have taken approx 1 year unpaid leave since I started between additional maternity leave, shorter working year, parental leave etc. I have it in my head that it makes sense to buy back this time but would appreciate some views.
I am now in the fortunate position of being promoted which includes a significant 10k pay rise so does it make sense (and is it possible) to buy back 1 year based on my current salary prior to promotion as pension will be paid on new salary assuming I survive that long....
Is there any point in buying back 1 year of service or would I be better off with AVC?
Should I buy back more than one year now?
Buying 1 year would take me over the tax relief for my age (49) so would not be entitled to tax relief on all the lump sum. Is there a way to split over 2 years to receive tax relief on it all?
As I have started paperwork for promotion I need to make a decision soon so would appreciate any advice.
Tommygirl
I am now in the fortunate position of being promoted which includes a significant 10k pay rise so does it make sense (and is it possible) to buy back 1 year based on my current salary prior to promotion as pension will be paid on new salary assuming I survive that long....
Is there any point in buying back 1 year of service or would I be better off with AVC?
Should I buy back more than one year now?
Buying 1 year would take me over the tax relief for my age (49) so would not be entitled to tax relief on all the lump sum. Is there a way to split over 2 years to receive tax relief on it all?
As I have started paperwork for promotion I need to make a decision soon so would appreciate any advice.
Tommygirl