Pension

me4many

Any help on the following please.

Man retires early age 59 from simi state job. He was in defined benefit pension scheme (15 years)
He gets about €13k per year (as part of some early retirement package) until he reaches normal retirement age.

Will he then get his work pension AND state pension at age 66 (in this case)
He got a note from pension people saying his pension is not coordinated. What does that mean.

Any advice on this please.
Thanks

HowFinancial

Who were the "pension people" who sent the note? (i.e. are they trying to sell him something?)
Does he have any AVCs in addition to his main pension benefits?

coylemj

me4many wrote: »

Will he then get his work pension AND state pension at age 66 (in this case)

If he worked for a semi-state and paid full Class A PRSI contributions then he should qualify for a contributory state pension. You say he worked there for 15 years, he would need to have paid contributions from other employment(s) to qualify for the full state pension, check out the qualifications here...

http://www.welfare.ie/en/Pages/State-Pension-Contributory.aspx

me4many wrote: »

He got a note from pension people saying his pension is not coordinated. What does that mean.

Some pension schemes take the state pension into consideration and the occupational pension is reduced by the amount of the state pension when you start to receive it, it sounds from that letter that this is not the case.

The Pensions Board describes it as follows.....

Benefits from occupational or company pension plans, particularly defined benefit schemes, are often co-ordinated or integrated with those paid by the social welfare system

So it sounds like your friend's work pension will not be affected when he starts to get the state pension at age 66.

me4many

Thanks for info.

Pension people are not trying to sell anything. He doesn't have avc's.

He worked for years before his last job but did not pay into a pension there.

I think his work pension will pay somewhat less than the state pension so possibly he will receive both.

Thanks again.

shar01

Hi OP,

When did he retire?

To be receiving an unco-ordinated pension he would have had to have commenced in semi state before April 1995.

If he is unco-ordinated, then unless he paid A (or ordinary) PRSI contributions prior to commencement in semi state, he may not be entitled to any State Pension.

If he did pay A PRSI, he could be looking at a mixed rate pro rata State Pension.

Check out welfare.ie or citizensinformation.ie

me4many

Thanks for that Shar01.
I don't know the answers but will check.
Plenty to look at there.
Thanks

BuffyBot

As this isn't a query regarding a commercially available product, and includes a state pension element, I'm moving it somewhere more suitable in the hope you'll get more information