# leaving job moving from one defined benefit scheme to another



## aidank (13 Apr 2014)

Im early 30ties and moving job.  Both companies have a defined benefit scheme.

whats the most profitable way for me to ensure I get the value from the company that I am leaving


----------



## Deas (14 Apr 2014)

What exactly is the question here?


----------



## Conan (14 Apr 2014)

You should have two main options;
1 opt for a deferred pension in your existing scheme based on your service to date of leaving, or
2 take a transfer value to your new scheme

If you opt to leave a deferred pension in your old scheme it will be based on your service and salary at date of leaving , e.g 5/60ths x salary. And this deferred pension would be indexed at the lesser of CPI or 4% p.a up to retirement age.
Alternatively your existing scheme may offer you a transfer value to take to your new scheme. What the transfer value will provide in your new scheme is dependant on the structure of that scheme.

Deciding which is likely to be the best option is very difficult, not least since you have some 30 years to go to retirement. I would need to see the various numbers to come to some conclusion.


----------



## aidank (22 Jul 2014)

age 33

pension if I leave until normal retirement, €3341.64pa

transfer value €11,681


----------



## Steven Barrett (23 Jul 2014)

The big question with defined benefit schemes now is how solvent is it? Will the benefits be there in 32 years time when you come to retire. I wrote a blog on your options a while back, the link is below. 

http://www.bluewaterfp.ie/pensions-2/defined-benefit-pension-plan-should-i-transfer-out/

You should ask the trustees for a copy of the annual and actuarial reports. This will give you an idea of the solvency levels of the scheme.


----------

