VR concerns

[windermeredave]

With a ongoing revision in progress at our office it`s looking like there will be something like 10 to 15 VRs coming up, a few months back we were all handed preference sheets indicating if we would be interested in taking it or not.
To cut a long story short I am 63 now took my pension at 60 and am no longer paying into it, I am absolutely desperate to get out by this route. I posted a thread a few months back and was told I would be entitled to the full 104 weeks.

However I have now been asking around in my office and there are several guys usually ages late 40s to mid 50s with around 30 years service, that are telling me that they would like to go, but would need to see the figures first.
I can count about 4 guys that will definately go.

Can anyone give me some idea how much these chaps will get offered on the figures above? of course it would also affect their future pensions.

[Senior Service]

Lucky devils to get VR I am 59 and would love it but our office is well understaffed and we are suffering big time every day being pushed from pillar to post just to try and cover the jobs. There is always opg's from other offices in to help but obviously they don't sort increasing the pressure on us even more.

The thought of VR is like winning the lottery to us.

[houseoflords]

As time goes by more EVRs will be offered, the cut backs and the shift towards Part Timers will see to the Full Timers being squeezed out and their numbers decline.

[windermeredave]

The problem in my office is that so many of the staff are long servers, I will have been here nearly 29 years but my seniority is 42
many of the guys senior to me have told me they are not interested in going, but equally some are saying they may be interested, but are concerned that getting another job maybe an issue.
would bloody love to get out, but my fate is in the hands of the gods

[silly suffolk]

20 years service. 2 years money. over 55 years of age, 6 months money, enhanced pension.

[baldrick]

there are several guys usually ages late 40s to mid 50s with around 30 years service, that are telling me that they would like to go, but would need to see the figures first.

Can anyone give me some idea how much these chaps will get offered on the figures above? of course it would also affect their future pensions.

According to mtsf2 VR ready reckoner:

Age 43 with 27 years service = max 93.75 weeks
44 with 28 years = max 99.375 weeks
45 with 28 years = max 103.125 weeks
46-55 with 27+ years = max 104 weeks

Over 55, if still paying into RM pension would get pension based on pensionable years service, slightly enhanced, plus 26 weeks VR.

[windermeredave]

there are several guys usually ages late 40s to mid 50s with around 30 years service, that are telling me that they would like to go, but would need to see the figures first.

Can anyone give me some idea how much these chaps will get offered on the figures above? of course it would also affect their future pensions.

Over 55, if still paying into RM pension would get pension based on service, slightly enhanced, plus 26 weeks VR.

Can I assume that will include a lump sum for the pension too? with the 26 weeks that will be something like 50k

[baldrick]

there are several guys usually ages late 40s to mid 50s with around 30 years service, that are telling me that they would like to go, but would need to see the figures first.

Can anyone give me some idea how much these chaps will get offered on the figures above? of course it would also affect their future pensions.

Over 55, if still paying into RM pension would get pension based on service, slightly enhanced, plus 26 weeks VR.

Can I assume that will include a lump sum for the pension too? with the 26 weeks that will be something like 50k

Yes if there is a pension lump sum payable with the pension. If these guys are around 30 years service they should be in the same RM pension as me. On my pension the lump sum was a standard 3 times the yearly pension, but I could convert some of the lump sum into a bigger pension (which I did), or convert some of the pension into a bigger lump sum (which a lot of people do, apparently because the pension lump sum is not taxable, while the pension is).
There is a newer pension I believe where you don't get a pension lump sum, but I don't know about that.

[RobertT]

If these guys are around 30 years service they should be in the same RM pension as me. On my pension the lump sum was a standard 3 times the yearly pension, but I could convert some of the lump sum into a bigger pension (which I did), or convert some of the pension into a bigger lump sum (which a lot of people do, apparently because the pension lump sum is not taxable, while the pension is).
There is a newer pension I believe where you don't get a pension lump sum, but I don't know about that.

Your pension sounds as if it’s Section A/B (joined before April 1987) where a lump sum is payable as standard, but you can choose to commute some or all of it and get a bigger pension instead.

Anyone who started between April 1987 and April 2008 will be in Section C where there isn’t a lump sum paid as standard, but you can commute some pension and get a lump sum instead.

The lump sum in both cases is tax free and ideally should (in my opinion) be funded by AVC's as much as possible. But the maximum lump sum will still be 25% of your total RM pension provision.
Whether any tax is payable on the pension itself will depend on an individuals total yearly income.

[windermeredave]

With the information received here I think I must be prepared to work for 2 more years to get out, the over 55s will snap that up.
Hopeful that enough of the under 55s will think they may have to stay on. but not confident

[baldrick]

With the information received here I think I must be prepared to work for 2 more years to get out, the over 55s will snap that up.
Hopeful that enough of the under 55s will think they may have to stay on. but not confident

I hope you get it.