02 Apr 2020, 07:27
09 Apr 2020, 08:12
09 Apr 2020, 08:23
mrcurve wrote:have a look at this, when can I take my benefits
https://www.royalmailpensionplan.co.uk/ ... s-answered
09 Apr 2020, 09:36
09 Apr 2020, 15:03
09 Apr 2020, 15:50
Steve_claret wrote:If we look at the worst case scenario and we will pay into this cash balance fund for another 2 years then it will be worth over £20K which will be worth way more that 25% of my NRA65 pension. Surely we can't pay tax on this lump sum just because the new CDC scheme has been delayed going through parliament.
10 Apr 2020, 00:29
10 Apr 2020, 01:07
10 Apr 2020, 01:10
10 Apr 2020, 01:14
renrag40 wrote:The way I would work it out is.....
From your last pension statement Take your yearly pension figures and add together (minus 25% of the nra 65) then multiply by 1.024 (the rise in the pension for the last year) then multiply by 23 and divide by 4 to find the maximum lump sum..... this is where it gets tricky the cash fund...... to find the maximum lump sum for years 2012 to 2018 take the csdb yearly pension and multiply by 0.6 then multiply by 23 and divide by 4........ subtract this figure from cash fund (which has been reduced by 25%) and add it to the remain total pension pot. Any remaining balance in the cash fund is then taxed at your nominal rate and added to the maximum lump sum.
The new total pension pot is divided by 20 to give your yearly pension.
The upshot of it is that for Section B members you don’t get much from the cash fund to increase your lump sum apart from the taxed remainder. The cash fund gives you a slightly larger yearly pension.
I know !!! As clear as mud!!
10 Apr 2020, 01:16
10 Apr 2020, 01:26
10 Apr 2020, 01:31
I know my first max lump sum is a min of £53000 as the old illustrations told me that before they stopped showing them. That was shown as the max tax free lump sum I could take from the FS scheme section Brenrag40 wrote:Yes but you don’t add the maximum lump sum to the pension pot you add the minimum lump sum.... surely..... otherwise you are getting a maximum maximum lump sum aren’t you?
10 Apr 2020, 01:33
10 Apr 2020, 01:37
No offence taken and if I was out by £6000 that would be fine and I do t say that glibly ! For illustration in the morning I will show you my pension illustrations over the years. My csdb currently stands at £12000 min lump sumrenrag40 wrote:You don’t have to post your pay slip Stephen...... grandfather rights is the answer.
But I am right about adding the standard lump sum to the total pension pot. I fear you are over estimating your maximum lump sum by 5 to 6,000. Like I say, I hope your right and I’m wrong. I didn’t mean to cause you any offence...... if I have I apologise.
10 Apr 2020, 02:04
10 Apr 2020, 02:10
I will be happy as long as I get £68000 max lumps, first max should be min of £50 k and csdb £12 k, so that gives me £62k max lump sum as min. Just need to other £12 k cash bal scheme to be worth £6 k in cash terms to bring to £68k any thing else is a bonusrenrag40 wrote:It’s alright Steph.... I trust you mate
The complexity of it, is all the changes that have been forced on the members since 2008 which means you have to do all sorts of side calculations to get to the final figure....... then to put a feathered hat on it they add in the cash fund that is only for years 2012 to 2018 and there to provide a lump sum which you are already due to receive.
Having said that I’m like you, I would be quite happy for the cash fund to carry on...... as recent events have shown ....what use is a yearly pension when you could be fighting for breathe on a ventilator in a weeks time?.....I’m a happy sod me
I’m giving it some careful thought to taking the 2012 onwards pension as a transfer value and putting it in a SIPP..... at least the cash would be there to pass on to the family...... Mulling over whether I want the hassle of the investment decisions that go with it...... have you looked at this option Steph?
Ps..... Still can’t get over that you think Amazon should pay their fair share of taxes...... not in either of our life times!
10 Apr 2020, 02:43
10 Apr 2020, 03:00
if you are right, I would be more than happy. I think I will get at least £50 k fs sec B, csdb £12 k and I am not sure how it is worked in and How much tax I may pay, but around £12 k cash bal scheme. Making the £74 k you say and you have yearly a bit higher. Happy if both you and I are right. My aim £10k pension and out of lump sum 68k divided by 6 years and 10 months to give me £10k per year to add to my pension giving me £20k a year till my state pension.renrag40 wrote:Steph, I’ve just crunched the numbers the way I would work it out and come to....... now don’t bite my head off.....
Lump sum of £74,500.
Yearly pension of £11,180.
Monthly pension of £930.
When you get your pension estimate I would be fascinated to know how accurate the above is...... if only so I know I’m on the right lines to working it out for my own in about 4 years or whether it’s back to the drawing board.
Keep safe Stephie lad.
10 Apr 2020, 09:47