| private pension, question [message #377842] |
Do, 06 April 2006 18:47 |
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While I was working at a company about 4 years ago , I opened a private
pension plan. I stopped contributing after a few months. I did not
realise though that I was opted out of the State Second pension. I have
now opted back in but about =A33000 was paid into the private plan
instead of the SSP at this time. Presently, nothing is being paid in at
all, and I do not plan to pay any more in.
On my last statement the figures say...
2006 Plan value 4845.64
What you get back when you retire:your fund might be worth:
>From payments to replace the additional state pension =A386,400
This could buy you a yearly pension of: =A33020
>From all other payments =A31350, =A348 a year when you retire
Since I have opted back in to SSP I dont know why the =A386400 figure is
that high????
How can =A34854 turn into =A386400? Are they assuming I am going to opt
out again?
Is this plan value of =A34845 worth bothering with, seeing as I'm not
going to pay any more in?
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| Re: private pension, question [message #377853 ] |
Do, 06 April 2006 21:29 |
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"beno" <beno [at] dsl.pipex.com> wrote in message
news:1144342054.474018.142600 [at] e56g2000cwe.googlegroups.com...
While I was working at a company about 4 years ago , I opened a private
pension plan. I stopped contributing after a few months. I did not
realise though that I was opted out of the State Second pension. I have
now opted back in but about £3000 was paid into the private plan
instead of the SSP at this time. Presently, nothing is being paid in at
all, and I do not plan to pay any more in.
On my last statement the figures say...
2006 Plan value 4845.64
What you get back when you retire:your fund might be worth:
>From payments to replace the additional state pension £86,400
This could buy you a yearly pension of: £3020
>From all other payments £1350, £48 a year when you retire
Since I have opted back in to SSP I dont know why the £86400 figure is
that high????
How can £4854 turn into £86400? Are they assuming I am going to opt
out again?
Is this plan value of £4845 worth bothering with, seeing as I'm not
going to pay any more in?
Get a calculator and see what £4845 comes to at your age 65 at an assumed
growth rate of say 6% p.a. I don't know how old you are, but you surely
don't want to chuck £4845 away do you?
Rob Graham
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| Re: private pension, question [message #377931 ] |
Fr, 07 April 2006 23:55 |
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beno wrote:
> Since I have opted back in to SSP I dont know why the £86400 figure is
> that high????
>
> How can £4854 turn into £86400? Are they assuming I am going to opt
> out again?
It is 7% growth on the fund over about 42 years. Or possibly they are
assuming you will make some contributions to it.
That sort of money in 42 years time won't be worth much.
> Is this plan value of £4845 worth bothering with, seeing as I'm not
> going to pay any more in?
You are stuck with it, and it will be worth something.
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| Re: private pension, question [message #377944 ] |
Sa, 08 April 2006 13:21 |
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> beno wrote:
> > How can £4854 turn into £86400?
>
"Jonathan Bryce" wrote
> It is 7% growth on the fund over about 42 years...
>
> That sort of money in 42 years time won't be worth much.
Using your crystal ball?
Back off - it's an Actuary's job to predict
the long-term financial future, not yours!!
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