AVC's- Worth it?

[Cordel]

Hi everyone,
I'm just starting to look into this. I'm post 2004. I'm a teacher. I started in 2005. Ideally I'd like to retire early, in 20 years. So I'll have done 35 years.
What impact will this have on my pension? Looking at AVC's. Is this the right product to go for to get earlier retirement? Any advice/ links appreciated.

Corina

 

[Ravima]

Replying, since no one else did!

It is the right product. If you can buy back prior or notional service, it is better, but I don't know about the 'post 2004' rules. The important thing is to talk to someone independent. As a teacher, there is one 'preferred' AVC advisor. They are commission based so might not point you in the direction of buying back.

 

[Early Riser]

If you can buy back prior or notional service

Looking at AVC's. Is this the right product to go for to get earlier retirement? Any advice/ links appreciated.

Just to note that there is a difference beween buying back prior service and notional service. Buying back any prior service is always worth it if possible ,eg, temporary positions before you joined the pension scheme. Notional service is more expensive and you need to compare it to AVCs. It depends on your individual circumstances ane what you want to achieve. If it is specifically to aim for early retirement then AVCs may be preferrable to notional service.

You might want to start with a read here and, maybe, come back with more specific questions:
Purchase of Notional Service (PNS) and Additional Voluntary Contributions (AVCs)

Edit, Sorry. Link : [broken link removed]