charliebear
Registered User
- Messages
- 15
Can anyone advise whether I can set up an AVC and pay into this and draw on it prior to reaching pension age in the Single Scheme? I know I can apply for cost neutral early retirement in the Single Scheme but if, for example, I had left that employment and no longer worked for them, my understanding is that this would not be an option and I would have to wait until 68 to access the preserved benefits?
Unless you can do something linked to your self-employed income - but this would be seperate from your main employment income. I realy don't know anything about that, but hopefully others can advise.
(Are you sure that you cannot access the Single Scheme benefits until 68 if you leave earlier?)
My understanding of the Single Scheme is that while an active member of the scheme, you can apply for CNER and it may be approved (say if I was still working there at age 55 or 60). If I was to leave this employment, my understanding from the paperwork is that my benefits are then preserved until the normal retirement age (68) so I can't get in touch at the age of 60 and ask for CNER when I no longer work there.
Very interesting, I’m currently a teacher on the single pension scheme. I am meant to work until age 68 but would love to retire earlier than that. Cost Neutral early retirement is an option from age 55 but would leave me with a tiny pension.I am not too familiar with the Single Scheme specifically but, in general, in the PS if you resign your post then your pension is either preserved or you can take CNER - if you have reached the relevant age for the latter. The choice must be made at time of resignation. If you were to resign your post at 50 (say) then CNER would not be an option and you would be left with a preserved pension.
So if I was to resign at 55 I would have to choose between CNER and a preserved pension at this point? I had hoped to leave my permanent job but continue working 100- 120 days a year in a substitute capacity. If I took the CNER option what would have to my new pension contributions?
If you decide to go abroad you could see if it was possible to transfer your AVC value to that country. There is a rule in pensions manual about not being able to transfer to avoid pension rules but if you genuinely move to another country you should be OK.
You could then decide to draw those benefits from that country, or move the value back into a buy out bond which could be accessible from 50/55+ with 25% tax free..
Food for thought...
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