My public sector pension provides for a max pension of 50% of my final salary. Is this considered "good" in pension terms? ...........
Hi Mary_K,
Pension arrangements vary greatly across the public sector spectrum. To answer your question one would need to know which public sector scheme you are a member of.
You could be a
civil servant.
You could a
public servant (excluding civil servants); there are differences in how the schemes operate for Guards, HSE, Local Authorities, Primary Teachers, Third Level Teachers, members of the Defence Forces and non revenue generating state agencies such as Fas etc.
Finally you may not be a public servant at all but working in public sector organisatins such as ESB, Bord Gas or a similar semistate organisation. (
aside: these organisations are
not covered by benchmarking)
While these schemes are based on the same model the rules, contribution rates and benefits vary, some times dramatically, across these public sector categories.
Some schemes are indexed with inflation, some are indexed with "pay parity", some not indexed at all and pensioners get increases at the discretion of the trustees.
Some schemes are 'funded' others are not.
Some schemes are contributory others are not.
Finally it may come as a surprise to some but many private sector organisations continue to offer DB type schemes to their employees.
aj