Army Pension

Discussion in 'Armed Forces Pension Scheme' started by blindbeggar, Apr 25, 2006.

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  1. Could anybody offer me advise with concern to the Army Pension.
    Since leaving the forces, I have been contacted many times, by ex service members that are employed in the pension/insurance/investments sector.
    All of them portraying how much better off I would be if I took my Army Pension out, and reinvested into a civilian pension scheme.
    What is the truth behind this?

    Best REgards
  2. ugly

    ugly LE Moderator

    I did and am no better off, civvy firms stop dealing with your pension, amalgamate, get taken over and you end up having to transfer it to an active fund manager which usually wipes out any profit or even some capital. Leave it to the govt they can stuff it up as well as the civvies and at least you wont have to pay for the privelige.
  3. oldbaldy

    oldbaldy LE Moderator Good Egg (charities)
    1. Battlefield Tours

  4. In 99% of cases it is complete cr@p. Yes, you could possibly make more money (my private pension fund is currently giving a 32% average annual yield over the last 5 years. Not bad. :)

    The only problem is that my pension funds can also loose money, and could be worth sweet FA when I retire (hopefully at 50). Though this is unlikely, it can still happen. Your Army pension is safe and "guaranteed". If a government decided not to pay it then the serving Army would hopefully shoot them all.

    Keep your Forces pension and set up a new investment vehicle. The salesmen want you to transfer your pension because they will get a massive commission from the pension provider (about 20% of the amount transferred) and up to 100% of your first year's payments on a 20 year plan.
  5. ugly

    ugly LE Moderator

    If you have a small pension ie a packet of fags a week at 65 then you only have that to lose. It is gambling and the only real winners are the money movers who make commission. If you have lots of time in for a full pension then hang on to it. You probably still have time for a new career after removing the hand from the bucket of water and as you can have more than one pension it would be nice to have an ERV! I like many are relying on my property value saving my bacon!
  6. Thanks for your replies, just confirming what I thought really. I have a couple of private pensions running anyway, so I do not feel the need to transfer the army pension. However, this guy is like shite to a shovel, and is very persistent!

    Thanks again people.
  7. ugly

    ugly LE Moderator

    However, this guy is like shite to a shovel, and is very persistent!
    Another typical sales monkey who wont manage your fund but gets shed loads of commish!
  8. Thats what put me off him ugly, phone calls all the time, bumf in the post, few more calls. Told him i will call him when iam good and ready. Still pestering me, starting to get a little peeved by him.
  9. ugly

    ugly LE Moderator

    Trust your instincts as my wife says and shes never wrong, especially if she's in the room. If it gets to pester point tell them that you are starting a new job as a research assistant for watchdog!
    Even I hate Campbell bl00dy Nicky Campbell!
  10. Cheers Ugg.
  11. TY warped this may be a good place to get info from
  12. MrBane

    MrBane LE Moderator Reviewer Reviews Editor

    Ahahahahahahahahahahahahahahahahahahahaha..... AhaAahAHAhAhahahahahah

    How times change eh?

    *Continues to wet himself*
  13. Aren't recessions terrible, with the crash in property prices some of us now have less than £120k equity, completely useless as a pension fund - possibly, but there's alway's the pensionS to fall back on. Planning is a gift, property is rarely a poor investment.
  14. MrBane

    MrBane LE Moderator Reviewer Reviews Editor

    Problem with property is that yes, you could sell and make a mint, but then you need to buy again. (Usually!)
    So if your property value has gone up, safe bet to say, that so has everything else. So you either have to move to a substantially lesser property or to a lesser area, or else you'll end up saving very little and possibly spending more.

    Anyway, in the army it's indicitive of a wider problem, that of ignorance of the lads that join nowadays and the planning for their future that they should be doing from day one of enlisting.
    I know guys coming to their 22 that are still SLI's with no savings. A lot of wasted opportunity to save a lot of money. The best saving scheme in the world is not an ISA or a high interest account, it's the armed forces!