quick question

[ihatedogs]

If, at 60, you take the maximum lump sum & a reduced pension do you also get the pension supplement until official retirement age?
Cheers.

[RobertT]

If you take your pension from 55 onwards and leave RM you will get the supplement until state pension age, although reductions for early payment will apply. If you take your pension and continue working you will not get the supplement at all.

[ihatedogs]

Thanks mate, cleared that one up for me.

[nataddick]

I took my NRA 60 benefits on reaching age 60 in July. Somewhat late in the benefit quotation & acceptance process, I noticed that I was to receive a pension supplement. I queried it, as my understanding was that as I was continuing working past 60, I was not entitled to it.

The reply was that my pension supplement entitlement arose as a pension transfer to RM from a former employer. A mate of mine is also getting a 'pension supplement' for the same reason.I was totally unaware of this from any previous communications over the last 12 years!

[RobertT]

That's a new one for me aswell.

[ihatedogs]

Nataddick, thats good to know. I transferred in my previous pension when I joined RM. Cheers.

[toomuchcoke]

If you take your pension from 55 onwards and leave RM you will get the supplement until state pension age, although reductions for early payment will apply. If you take your pension and continue working you will not get the supplement at all.

Do you, or anyone else, know what happens if you're a deferred member but are working for the Royal Mail? i.e. You did work for the Royal Mail, left for 3-4 years and then came back, thus being a deferred member of Section C and a current member of the defined contribution scheme.

[RobertT]

I took my NRA 60 benefits on reaching age 60 in July. Somewhat late in the benefit quotation & acceptance process, I noticed that I was to receive a pension supplement. I queried it, as my understanding was that as I was continuing working past 60, I was not entitled to it.

The reply was that my pension supplement entitlement arose as a pension transfer to RM from a former employer. A mate of mine is also getting a 'pension supplement' for the same reason.I was totally unaware of this from any previous communications over the last 12 years!

I’ve now looked at the ‘guide to leaving the plan’ available here: http://www.royalmailpensionplan.co.uk/s ... an/library" onclick="window.open(this.href);return false; and it does say:

With the exception of service granted as a result of transferring benefits into the RMPP from another pension scheme, no pension supplement is payable unless you have left Company employment.

I think the online guides have changed with the introduction of the new website. But it may also be that the info was there all the time and we didn’t see it?

[RobertT]

If you take your pension from 55 onwards and leave RM you will get the supplement until state pension age, although reductions for early payment will apply. If you take your pension and continue working you will not get the supplement at all.

Do you, or anyone else, know what happens if you're a deferred member but are working for the Royal Mail? i.e. You did work for the Royal Mail, left for 3-4 years and then came back, thus being a deferred member of Section C and a current member of the defined contribution scheme.

My guide to Section C benefits says: If you remain in company employment or if you are re-employed, then the supplement is not payable.

[nataddick]

Thanks Robert.

As I am not leaving the RMPP, I did not think to look in that booklet! Why they don't differentiate between the two types of pension supplement is beyond me (and them)!

[Poshpost]

I have tried to find the answer to the following in the various booklets and from the pension fund, however, I am still unclear. I asked and received a pension illustration about a month ago which showed a Transferred in Pension Supplement for the NRA 60 Pension. I assume this relates to service I purchased when I joined the Royal Mail Pension scheme around eleven years ago, no other supplement is shown on the illustration. I am to assume that this Transferred in Pension Supplement is instead of the standard Pension Supplement or will I get both? I rang the pension fund and was told that I will get both and that the standard Pension Supplement is not shown when an individual illustration is requested.

[RobertT]

I have tried to find the answer to the following in the various booklets and from the pension fund, however, I am still unclear. I asked and received a pension illustration about a month ago which showed a Transferred in Pension Supplement for the NRA 60 Pension. I assume this relates to service I purchased when I joined the Royal Mail Pension scheme around eleven years ago, no other supplement is shown on the illustration. I am to assume that this Transferred in Pension Supplement is instead of the standard Pension Supplement or will I get both? I rang the pension fund and was told that I will get both and that the standard Pension Supplement is not shown when an individual illustration is requested.

If you requested an individual illustration recently I assume you’re thinking of taking your benefits in the near future. If so, are you planning on leaving RM or staying on?

As has been mentioned on this thread already, if you take your pension and stay in RM employment you will get your transferred in supplement, but not your RM one. If you are leaving RM altogether as far as I know, you will get both.

Don't forget that the supplement/s are only payable until you reach state pension age.

[Poshpost]

Thanks Robert, I was thinking of leaving after the 15th October 2016 to enable me to pick up some of the shares, minus, tax and NI. When I asked the Pension Fund the same question the person I spoke to did not sound at all sure what he was telling me. Thanks again.

[RobertT]

You don’t say how old you are, but if you’re 60 or above and leave, you are deemed to be retiring and a ‘good leaver’ as far as the shares are concerned. So you can keep them or sell them without paying tax & NI.

Your experience with the Pensions Service Centre doesn’t surprise me as whenever I’ve spoken to them over the phone they’ve always seemed clueless. I’ve always found writing to them gets a better response.

[stodgy88]

Hello, how is the supplement worked out if you decide to leave RM -thanks