Forum

advice needed over pension

I’ve recently joined my works pension and I’ve been informed that I won’t be able to take ill health retirement if its connected to my ms. I don’t know what to do, what happens if my ms does stop me from working.

Does anyone know of any insurance or money schemes I can join, just in case?

Bump

Thank you

I’ll give this a bump because I’m interested in what people say. My employer is about to move our pensions to a new provider. I think the answer will be you can’t get anything that covers you for an existing condition.

[quote=“GHD”]

I’ll give this a bump because I’m interested in what people say. My employer is about to move our pensions to a new provider. I think the answer will be you can’t get anything that covers you for an existing condition.

[/quote] Or if you do it will be so costly it won’t be worth it. Jan

Hello mm

I have no idea what’s so ever about pensions. I’m just wondering if it’s worth paying money into your works pension if they are not going to pay out if you have to retire due to ill health because of MS. Surely it’s just a waste of money, you need to get some financial advice from an expert. You may have to find another way to invest your money.

Good luck

Give the free Government run pension advisory service a ring http://www.pensionsadvisoryservice.org.uk/

With all these stupid changes happening to pensions at mo gawd knows the best way to go.

G

hi there ,

i was in the workscheme pension working for the council.

i am retired on ill health with workspension .

got diagnosed with ms in march 2011 had a few bad relapses went from walking and working to fulltime wheel.chair 2013.

went on the sick in 2011 had to see the worksdoctor for assesments then in 2012 again to decide witch tier i would be in .

tier one is full pension untill you die ( no chance/ability for work )

tier two is pension for a limited time according how long you worked and paid into your scheme .

hope this helps a little bit

tina x.

Is there nothing I can do to put a bit of money away to get a reasonable investment?

Depends what you want, how old you are and how long you will continue to work. If you’re young enough and will continue to work then a private pension is a good thing. Unfortunately for you they won’t cover your existing condition and as the condition is unreliable in its progress you can’t guarantee how long you will continue to work. Ring the pension provider and ask their advice giving them different scenarios. For example years ago I know that in my pension if we decided to withdraw from the scheme within five years we could get all our money back, does that still happen and would it happen in yours. Ask them for different forecasts say for ten and fifteen years contributions and then you could decide if you thought it was worth it I’m sure they are used to such questions and will be able to advise. Another thing to consider is the fact that if you have a private pension it will always affect benefits. Best of luck Jan

There is nothing to stop you saving in the normal way, Minnie. You just won’t be able to insure against not being able to work due to a condition you already have. However, it’s very hard to get an inflation-beating return with any investment, at the moment - especially after tax. Do you have an ISA? You still won’t get a cracking return, but at least it’s protected from tax. To get higher returns, you’d need to venture away from traditional savings accounts, and into stocks and shares, but this means accepting a higher level of risk. Unlike a bank account, you may not get back all you put in. This may not be something you’re comfortable with, if you want a secure nest egg. But don’t forget that one earning less than inflation over time IS getting smaller in terms of purchasing power. Stock market investments are probably also not suitable if you may need the money suddenly, as you could be forced to sell at an unfavourable time (when values are low). This is where a crystal ball would come in handy. If you thought it might be - say - ten years before MS interferes with your ability to work, it might be a long enough timespan to consider more risky investments, as generally, the longer you can hold them, the more any poor performance is averaged out over time by periods of better performance. But if you think you might need the money next year, the stock market is not suitable, as if it has a bad year, there will be no time to make up any losses. Having said all that, any money you can put away anywhere is better than having no safety net at all. It’s just really hard to get a “reasonable investment” at the moment, as hardly anything is making anything, unless you’re prepared to take more chances. The Bank of England are hinting at rate rises sooner rather than later, so the position might get slightly better for savers, but we’re probably still not going to go back to the days when you could get a healthy five or six percent. Tina

Hi minnie,

I think with you saying that you have resently joined your works pension scheme, thats the problem.

They are stating, that you might not be covered because MS is so unpredictable, they just don’t know what will happen and like everything they are thinking about paying out.

It is abit like an insurance policy, you need a length of service, working age, and other numerous details are all a factor. I suggest you try and start saving for a rainny day, just in case.

I you can, try a smaller/not big bank, building society, Bonds, ISA’s are all a good thing, you need to check them out properely. If you know a good friend into finance matters ask them. But, be very carefull, rememberyou need to be happy with things, if its looks iffy, it usually is.

Hope all goes well. Andy

Hi Minnie

This is an area where you really need independent financial advice. If you are part of a workplace pension scheme, do they have an adviser who comes in every now and then to review the situation with employees?

I work for a firm of independent financial advisers and this is a large chunk of their business - administering and advising on company pension schemes. There is usually a reduction in their normal fees for advising the employees and they will discuss your whole situation - not just the workplace pension. It’s worth asking your employer if this service is available at your workplace and what, if anything, it would cost you to discuss the situation with an adviser.

Tracey x

Thank you everyone for your input. I should of joined my pension at 25 but I just couldn’t afford it then. I’m now 32, bit annoying but nothing I can do about my past desicions Think an financial advisor is the way forward n

This is a really good question Minnie. My work pension started 1st June but I’m undiagnosed think I will get the dx on the 27th June so I wonder if I will be covered or not. Think I better look at my options also. Glad you raised this. I’m also 32. I had a work pension previously so I wonder if I got retired on ill health that would kick in. I think I need a financial advisor lol X

This is a really good question Minnie. My work pension started 1st June but I’m undiagnosed think I will get the dx on the 27th June so I wonder if I will be covered or not. Think I better look at my options also. Glad you raised this. I’m also 32. I had a work pension previously so I wonder if I got retired on ill health that would kick in. I think I need a financial advisor lol X

This is a really good question Minnie. My work pension started 1st June but I’m undiagnosed think I will get the dx on the 27th June so I wonder if I will be covered or not. Think I better look at my options also. Glad you raised this. I’m also 32. I had a work pension previously so I wonder if I got retired on ill health that would kick in. I think I need a financial advisor lol X

If it’s the same rules as critical illness then it might not let you retire early. Your previous pension, was it a company pension or a private pension that your employer paid into, if it was a private pension then you might be able to start paying into that instead of your new one. Asking a financial advisor would be the best thing to do, they will know all of the rules. Before you go dig out all of your paperwork regarding both of your pensions so he can check the terms.

Hi, I am totally gobsmacked that MS bars you from ill heath retirement payout!!!

Cant believe this is part of your works pension scheme.

Its not like its medical insurance… or is it?

Grrrr on your behalf hun!

pollyx