# How much will pension be worth annually



## sooty (3 Sep 2019)

Hi everyone apologies if this is in wrong forum.   Ok i worked for one of the main banks from 1990 until 2013 when i took voluntary redundancy.   I have been keeping an eye on my pension with them and currently it is showing as E33916 in my personal fund and also E29440 AVC's.   Can anyone give me a rough idea how much i will get monthly once i hit pension age!!! or where could i find out.  Interesting enough I joined this Bank in 1990 but for some reason didn't join the scheme until 1992?

Much obliged



Sooty


----------



## kevhenry (3 Sep 2019)

Chances are you would be able to take most, if not all, of your fund as a lump sum given the number of years service you have under a defined contribution plan.

A rule of thumb to work out a level 4% monthly annuity benefit from age 65 is to divide the value of your pension fund by 300.

Kevin
www.thepensionstore.ie


----------



## sooty (3 Sep 2019)

Thanks Kevin for that so roughly E211 per month , would you think i would be better taking the lump sum at 65 or i wonder can i take mine at 63 and would you have any idea why i lost 2 years before they added me to the scheme.

Sooty


----------



## kevhenry (3 Sep 2019)

Given that it was 1990, it may have had an exclusionary period if you're saying that you had to be added to the scheme after 2 years.

I don't know how old you are but, since you've left the scheme, you could probably claim it all now if you wanted to.

You should request your 'leaving service options' from HR. This will outline your options clearly.

Kevin
www.thepensionstore.ie


----------



## sooty (3 Sep 2019)

Thanks again for that Kevin,  I will request my leaving service options from HR.   Much obliged for your help.

Teresa


----------



## kevhenry (3 Sep 2019)

You're most welcome.

The form they post out will detail 4 or 5 options, all of which will be illustrated with your numbers.

Read them over and if there is something you're unsure about then just revisit this thread with any queries.

Kevin
www.thepensionstore.ie


----------



## bill_cash (4 Sep 2019)

kevhenry said:


> A rule of thumb to work out a level 4% monthly annuity benefit from age 65 is to divide the value of your pension fund by 300.
> 
> Kevin
> www.thepensionstore.ie



Trying to educate myself on pensions a little bit for myself, spouse and wider family. That is a handy little rule of thumb, thanks Kevin.


----------



## kevhenry (4 Sep 2019)

You're welcome bill_cash

The hardest thing about pensions is starting one because, despite all the tax incentives, it's still a big monthly outgoing.

That said, I've never had anyone complain about having too much money in a pension fund so the more you can get into one the better. And the earlier you start the better.

Click here If you'd like to see your options.

Kevin
www.thepensionstore.ie


----------



## Palerider (4 Sep 2019)

You should be receiving an annual report from the trustees of the scheme which will answer your question, suggest you contact the trustees.


----------



## Namehere (10 Sep 2019)

sooty said:


> Hi everyone apologies if this is in wrong forum.   Ok i worked for one of the main banks from 1990 until 2013 when i took voluntary redundancy.   I have been keeping an eye on my pension with them and currently it is showing as E33916 in my personal fund and also E29440 AVC's.   Can anyone give me a rough idea how much i will get monthly once i hit pension age!!! or where could i find out.  Interesting enough I joined this Bank in 1990 but for some reason didn't join the scheme until 1992?
> 
> Much obliged
> 
> ...


Not sure how exactly you would have been in a DC pension scheme if you joined one of the main back in 1990. The majority of the back have a legacy DB scheme, so can't see how you wouldn't be a member of that. In addition to that haven't only 33k in a fund over a 23 year period seems very odd, unless you had it all in cash.


----------



## EmmDee (10 Sep 2019)

Namehere said:


> Not sure how exactly you would have been in a DC pension scheme if you joined one of the main back in 1990. The majority of the back have a legacy DB scheme, so can't see how you wouldn't be a member of that. In addition to that haven't only 33k in a fund over a 23 year period seems very odd, unless you had it all in cash.



I first started with Bank in 91 or 92 and it was DC then.

It was probably just after the time they started new joiners on DC but hadn't yet starting closing DB


----------



## sooty (13 Sep 2019)

Hi everyone - am waiting on my  leaving service options from HR - the 33k i quoted is actually my AVC's they are to send me a pension statement as well.   Going on some old correspondence i was in the Group DB Scheme?

Sooty


----------



## kevhenry (13 Sep 2019)

That would make sense alright.

Your leaving service options form will detail the deferred benefit you’re entitled to from normal retirement age and a transfer value including your AVC’s

Kevin
www.thepensionstore.ie


----------



## sooty (16 Sep 2019)

Hi Kevin, still waiting on the leaving service options from HR - i am pretty good at keeping all my documentation together and the only thing i can find that i got at the time was the Actual calculations for the severance, the only mention on this sheet was in relation to pension waiver.    This sheet gave 2 versions of redundancy and 2 options in each version if you understand me.       I presume this isn't the form you are talking about?

Sooty


----------



## kevhenry (16 Sep 2019)

Did you waive any of your pension entitlements in favour of an increased severance?

If you did, this will be detailed on your leaving service form.

You can't really do anything else until you get that I'm afraid.

Kevin
www.thepensionstore.ie


----------



## sooty (16 Sep 2019)

I took the option without Pension Waiver

Sooty


----------



## kevhenry (16 Sep 2019)

I would be confident that was the right move

Kevin
www.thepensionstore.ie


----------



## Conan (16 Sep 2019)

Sooty
If you accepted the SCSB calculation then you waived your future right to a tax free lump sum from the pension scheme (you did not waive any pension entitlement). This meant that you minimized the tax on the severance payment.
If however you held on to the right to take part of the pension as a future lump sum, then you simply paid more tax on the severance payment.


----------



## sooty (17 Sep 2019)

Im pretty sure i held onto the right to take a lump sum, its like getting blood out of a stone getting a copy of leaving service form - the people in charge of the VS say they would have had nothing got to do with it and have directed me to pensions who haven't responded yet.  I will keep after them!!! - i could do with a few euro out of with the pension pot or the AVC.s


----------



## sooty (23 Sep 2019)

Hi everyone so finally got my "statement of entitlement on leaving service" which outlined 2 options:

Option 1 Deferred benefits at 63 

Option 2 Transfer Payment - Transfer to : A new employer scheme of a PRSA or an approved Pension Transfer Bond.

So i guess i have no option here to withdraw some of my funds even though i am now 50?   

Any ideas?


Sooty


----------



## LDFerguson (23 Sep 2019)

If you're over 50 you certainly should have the option to take "early retirement" now (to access some of the funds now), as you are no longer in the employment of the bank.  A standard Leaving Service Options letter won't always mention the early retirement option as they probably use the same text for any leavers, including those under 50.  But it should mention the possibility of early retirement after age 50.  Anyway, I hate to say it but you'll need to go back to them to ask for Early Retirement options.  

By the way, I tend to be reluctant to advise people to take early retirement options other than as a last resort.  Fundamentally, this pension is supposed to be to provide you with money for when you've actually retired so accessing some of it now means less available when you retire.  But I don't know your circumstances so maybe you have good reasons to access some of it now.  

Regards, 

Liam
www.ferga.com


----------



## sooty (23 Sep 2019)

When i availed of the voluntary severance others that worked with me got early retirement because they were over 55 i think it was, that wasn't an option for me at the time.  I have just turned 50 this year .  I will go back to them and ask them about the Early Retirement options.   I just need a few euros out to tide me over on something rather than borrowing.


----------



## sooty (23 Sep 2019)

Just an update got email back there from my pension company to say "There are no early retirements permitted from the scheme at present, I'm afraid.

Sooty


----------



## LDFerguson (23 Sep 2019)

sooty said:


> Just an update got email back there from my pension company to say "There are no early retirements permitted from the scheme at present, I'm afraid.
> 
> Sooty



That's an unusual position for a DC scheme.  It's more common for DB schemes to restrict early retirements.  If you want to take early retirement, you'll have to go the long way - transfer into a private policy first and then take early retirement from it.


----------



## sooty (23 Sep 2019)

I was in a DB scheme so looks like its not an option.


----------



## LDFerguson (23 Sep 2019)

sooty said:


> I was in a DB scheme so looks like its not an option.



I see.  I saw reference to a DC scheme earlier in this thread but in fairness, that was from other posters.  If it's DB then you have to compare the transfer value you would get if you choose to transfer to a private policy now, with the deferred pension you would get if you leave it to 63.  Then decide if you're forfeiting too much by taking it now.  It's common that the transfer value offered by a DB scheme is poor value.  So even though you theoretically could transfer out to a private policy now and then retire that, it would probably end up being a bad idea compared with waiting for a deferred pension.  You or your adviser would need to compare the cost of taking a transfer value now with the cost of borrowing the funds you need.


----------



## kevhenry (24 Sep 2019)

Yes, be very careful when transferring benefits out from a DB scheme.

Kevin
www.thepensionstore.ie


----------

