Final Salary Pension Advice

Final Salary

Final Salary or Defined Benefit pension schemes to give them their true name, are the pinnacle of employer pension provision.

These schemes generally provide a guaranteed level of pension income and in a majority of cases long term protection against inflation by pension increasesand dependents benefits in the event of death of the member.

When George Osborne introduced full flexibility on defined contribution or “money purchase” plans, members of Defined benefit schemes may be feeling left out in the cold.

The benefits under a defined benefit scheme whilst being guaranteed, offer very limited, if any, flexibility and equally do not take account of an individual members circumstances.

It may be that they are single, and not interested in Dependants pension. They may want to access the tax free cash and defer the pension payments. They may have health issues and be able to secure a much higher pension in their own right in the open market when their health is considered. The schemes may only offer limited tax free cash and not 25% of the scheme value that is available elsewhere.

All these are factors which need to be considered.

The starting point though is to compare the Cash Equivalent Transfer Value of benefits – commonly known as a Transfer Value Analysis. This should determine if the scheme is offering a reasonable value for giving up the benefits in the scheme.

Overiding factors may be the fact that most Defined Benefits schemes so not offer tax free cash only nor do they permit phasing of benefits. More importantly as the proposals stand at present the new fully flexible pension rules will not apply to defined benefit schemes. Equally the government consultation period is looking at a potential ban of defined benefit schemes.
This looks pretty certain for Public Sector schemes, but a ban on private sector is not so clear as there are a number of options being considered.

This is a specialist area of advice, and requires special permissons from the FCA. Here are Pensions Advice UK will arrange for a specialist to contact you who has have the permissions and experience to help you.

Don’t Leave Everything until it is to late!

You could end up losing out! New Pension rules and government changes will impact you! But are you sure that waiting is the best option?

Your Pension Fund Could Attract 55% Tax

New rules mean that in some cases people could pay a large proportion of their pension funds in tax! We can help to mitigate this.

Retirement and Pension Annuity Advice - Specialist Pensions Advice Uk Service

Free 1st Consultation

Why don’t you contact us today for a chat and see if what we can do for you!

Retirement and Pension Annuity Advice - Specialist Pensions Advice Uk Service

Competitive Charges

Our initial consultation is always free! If you want to proceed with any recommendation we make you will be fully aware of our fee. They are lower than you may expect and are always competitive and agreed with you.

Call Pensions Advice UK Today on Call Free 0800 103 2500 Tel 01606-839720

Call 0203 3778 0939
Between 8am and 6pm Weekdays.

We Can Help Today…

Complete the form below…

1About you
2About Your Pension
  • Please Provide a working email address so that we can send you the quotation information

By submitting your information to us you are consenting to us contacting you regarding our services.
You can read our full (CLICK) Data Protection Statement

Pension Annuity Providers - Legal and General, Prundential, Just Retirement, Aviva, LVE, Scottish Widows, Partnership, Canada Life, Standard Life, Pension Schemes