Pension: Leaving public service for private

Hi all.

I'm working in the public service in a 3rd level institution, and I'm aged 38. I'm coming to the end of a contract which was originally 2 years then extended by another 2 years. I'm not yet sure if I will be made indefinite due to budgets. I have a previous 2.5 years in the public sector in other jobs, all of this time is continuous.

I've been offered a job in the private sector. It has a generous defined benefit (yes, benefit) scheme with options for AVCs. The contract is initially for 2 years with a view to permanency.

Questions: am I mad to consider leaving the public sector? If I do what happens to my current public pension? Will I end up with multiple pesnsions? Can I merge them somehow? If I leave the public sector and return later I understand I will have to start again with respect to pensions, is that right?

Please help, I'm awfully confused and I'm under pressure to accept the private job by tomorrow.

Thanks in advance!

Hi all.

I'm working in the public service in a 3rd level institution, and I'm aged 38. I'm coming to the end of a contract which was originally 2 years then extended by another 2 years. I'm not yet sure if I will be made indefinite due to budgets. I have a previous 2.5 years in the public sector in other jobs, all of this time is continuous.

I've been offered a job in the private sector. It has a generous defined benefit (yes, benefit) scheme with options for AVCs. The contract is initially for 2 years with a view to permanency.

Questions: am I mad to consider leaving the public sector? If I do what happens to my current public pension?

If you have paid 6.5 years of superannuation pension payments in the public sector then it is very likely that you will have a preserved pension based on this service. That (small) pension would be paid to you at retirement.


Will I end up with multiple pesnsions?

Yes, you might have a PRSI state pension, an occupational pension from the public sector and a possible future private occupational pension.


Can I merge them somehow?

No, you can't merge the public occupational pension with the private pension.

If I leave the public sector and return later I understand I will have to start again with respect to pensions, is that right?

Well, your future service is added to the 6.5 yrs that you already have paid into the superannuation scheme.

Anything useful here?

YES
You are MAD to consider leaving the Public Service

Is pension really the deciding factor for you in making this decision? For me, it would certainly be a factor, but not the main factor.

Yes.
Are u in after 2004 and so have to wait until 65 for pension?
Open you eyes and look across the full public service for opportunities.
In this country the public service is way over paid compared to private industry when you take the index linked pension, job security, bonuses that do not reflect work or financial state of the operation, time off, working conditions, career breaks, safety from redundancy, a pay scale with increments........................................

I know I am generalising an bit but i'm not far off

Look for a niche that suits your interests, temprement and which you will like in the service, study at night, dont have the stress over job security and enjoy life.

C

Hi, you've probably sorted this out by now. Basically as you can't get a refund you can perserve your benefits, this means that you would be entitled to a pension lump sum and annual amount based on your service but wait for it this is the important bit ... it would be based on your grade and point of scale you were on but when you reach the magic number the salary will reflect the actual salary applicable at the date you retire, e.g. 5th point on staff nurse scale amount in the year you retire. Think of it as an investment!