AFPS 75 Is it worth transferring it to a private pension

Discussion in 'Armed Forces Pension Scheme' started by SUNRAY_MINOR, Apr 18, 2013.

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  1. Right I had a search but couldn't see anything.

    I did 13.5 years with AFPS 75, when I left in 98 they gave me a forecast of £3500 per year at aged 60 with a lump sum of 3 x £3500 at 60. This would be index linked but I understand that the rate has been reduced the last couple of years.

    Now my question is this, is it worth transferring this to a private pension?
    I've seen this lot online

    Armed Forces Pension Specialists | Pension Transfer - Cash In Facts

    I've got 15 years till I'm 60, is it worth transferring the money to a private pension or keep it where it is?

    I know I'm an old **** so no need to tell me.

    Cheers Sunray
  2. On no account move it.
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  3. Don't forget the main aim of the private pension fund is to keep the companies shareholders happy. I would leave it in the MOD scheme.
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  4. BiscuitsAB

    BiscuitsAB LE Moderator

    All depends on your personal circumstances and what you intend to do in the future. There is no right and wrong or black and white. Moving from an final salary scheme is inappropriate for a lot of people, however if you're intelligent enough to look at the facts of the matter and understand the various risks involved then you're probably grown up enough to make your own decision.
    • Like Like x 1
  5. BiscuitsAB

    BiscuitsAB LE Moderator

    And the main aim of a final salary scheme in an age of demographic lag is to pay out as little as possible for as short a time as possible.
  6. This is so true. I had a private pension some years ago before cashing it in due to the high management fees.
  7. Join the Armed Forces Pension Society for £30 and ask them, they are the experts.
    • Like Like x 1
  8. BiscuitsAB

    BiscuitsAB LE Moderator

    Out of interest how did you cash it in?
  9. BiscuitsAB

    BiscuitsAB LE Moderator

    No their not, they are the experts on The Armed Forces Pension.
  10. Very True, so live as long as possible and rip them off! I have been drawing my pussers pension for 23 years and hopefully will do for another 23 years at the minimum.
  11. I have been involved in pensions for many years, and to be honest I would find it very hard find any justification for moving to a private pension.
    You would be giving up many guarantees, such as level of income, increases in payment, spouse and dependant benefits.
    You would gain investment risk, annuity / GAD rate risk and the risk of higher than expected management / adviser fees.
    No contest really.

    Leave well alone.

    Posted from the ARRSE Mobile app (iOS or Android)
    • Like Like x 1
  12. BiscuitsAB

    BiscuitsAB LE Moderator

    :) you old knacker, hope the plan goes to plan and you get a birthday card from the King in a couple or four decades.
  13. Topped himself - that'll learn 'em.
    • Like Like x 1
  14. BiscuitsAB

    BiscuitsAB LE Moderator

    Right. If you're going to give regulated advice step up and put your bloody credentials up and your FSA number. You have absolutely no idea of the OP's personal circumstances and are therefore acting contrary to the first principal of KNOW YOUR CLIENT! Which I believe is a breech of the FCA code of conduct.

    Sometime its like watching ******* sheep.