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Retiring Early

Hi. Sorry if this has been asked before…

…been an MS sufferer for over 10 years but over the last 3 years my symptoms have increased. I’m now looking at options of getting early retirement. As I’m over 55 I know I can draw upon my company pension, but not the state pension. I’ve been told that if I retire on medical grounds I can get the state pension early. Does anyone know if this is the case or how I would start such a process

thanks in advance.

Mrs Owl

Unfortunately no, I don’t think you can get your state pension early. It depends on National Insurance contributions you have made. Check with https://www.pensionsadvisoryservice.org.uk/ a free Government run institution. Advises about private pensions also. George

Oh now, wouldn’t that be nice. Sadly it’s untrue. Your state pension age remains the same regardless of your need to retire through ill health.

You could claim ESA, but as that is reduced by the amount you receive in your private pension, that’s jumping through a whole lot of (fiendish) hoops for absolutely nothing.

PIP isn’t means tested though, it’s ‘needs’ based. So if you’ve had to retire because of health, it might be worth looking at. Try the self test on https://www.benefitsandwork.co.uk/

Sue

As Sue and George have said you can’t get state pension earlier. You need to get proper advice regarding the best way to proceed. Would you be better off financially if you were retired on grounds of ill health? Do you get an enhanced pension if you go on the grounds of ill-health? Or maybe you get an enhanced pension if you retire early. What you should do is know exactly how you will stand financially BEFORE you resign. Don’t assume your employer will automatically give you the best deal. You may have to fight for that!

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I totally agree. Probably better go off sick long term, then ESA or whatever its called now. I would certainly get financial advice. Its not that easy to retire early sadly.

Pension advisory service are a good place to start.

Thanks All. Will be exploring the pension options and am awaiting a PIPS assessment at present

I had to retire early as said work pension ok but depending on illness etc you may be able to have it enhanced

You are better with advice iff you get is a or whatever you may be able to have it made up to your state pension level

By pension credit or what ever as far as I remember you need to have reached the age off 60 I would advise you get in youth with welfare rights at your local council Sa I did they are very helpful

I first spoke to a adviser at cab who said you don’t need this she said surely you can do something .

There is help there if you can unlock it try you local welfare rights

Yes I have done the early retirement. It started with a visit to occupational health. It can also be a health professional. I have a company pension and esa6.

I have had MS for over 20 years and have had to take early retirement. Something to consider with a firm’s pension if instead of an annuity being bought with your pension pot, perhaps you might take a drawdown pension. One of the considerations is that if you die then usually your annuity pension dies with you (unless there is a spousal transfer). With a drawdown pension you choose how & when to take the payments & if you die before 75 years then your beneficiaries inherit the pension pot. If you die over 75 years then the pension pot payment has tax deducted at the beneficiaries’ top rate of tax. This is what I have chosen to do. Lots to think about.

Good luck with PIP: mine has gone to appeal!