Can I cash in my LGPS pension at 55?

You can voluntarily retire and take your pension benefits at any age on or after age 55 and before age 75, provided you have met the 2 years vesting period in the scheme. However, your benefits are only payable in full if you voluntarily retire and take your benefits from your Normal Pension Age.

Can I draw my LGPS pension early?

You can choose to take early payment of your deferred benefits from age 55. You do not need your former employer’s consent to take your pension before your Normal Pension Age. This means if you left the LGPS before 1 April 2014 your deferred benefits will payable in full at age 65.

Does the 85 rule still exist?

If you were a member of the LGPS at anytime between 1 April 1998 and 30 September 2006, some or all of your benefits could be protected from an early payment reduction under what is called the 85 year rule. If you have 85 year rule protection this continues to apply from 1 April 2014.

Do you lose your pension if you retire early?

Once you retire from employment before age 65, you forfeit or lose your right to receive your retirement benefit payment for any calendar month when you work in suspendible employment and the hours you work equal or exceed the applicable hours limit.

How do early retirement factors work?

How much your benefits are reduced by depends on how early you draw them. The reduction is based on the length of time (in years and days) that you retire early i.e. the period between the date your benefits are paid and your Normal Pension Age. The earlier you retire, the greater the reduction.

Should I take my pension early or wait?

Typically that’s 65, though many pension plans allow you to start collecting early retirement benefits as early as age 55. If you decide to start receiving benefits before you reach full retirement age, the size of your monthly payout will be less than it would have been if you’d waited.

What is the golden 85?

The Rule of 85 (Golden 85) provides that if your age and Benefit credits total 85 or more, and you did not have a Separation in Service as of December 31, 1994, you can retire and receive retirement benefits (if applicable) with no reduction for Early Retirement Age.

How much do you need for early retirement?

For most people, you’ll need to be able to save between 25% and 50% of your after-tax income to be able to retire in less than say, 20 years. The exact percentage will depend on how much you’ll need to reach your goal. Naturally, if you expect to retire in 15 years, the percentage will need to be higher.

What age is early retirement?

age 62
A worker can choose to retire as early as age 62, but doing so may result in a reduction of as much as 30 percent. Starting to receive benefits after normal retirement age may result in larger benefits. With delayed retirement credits, a person can receive his or her largest benefit by retiring at age 70.

How old do you have to be to take the LGPS pension?

Taking your pension Your LGPS pension is payable in full from your Normal Pension Age which is linked to your State Pension Age (but with a minimum of age 65). However, you can choose to retire and take your pension from the LGPS at any time from age 55 to 75, provided you have met the 2 years vesting period in the scheme.

Can a member of the LGPS be forced to retire?

If you are obliged to retire because of redundancy, business efficiency or permanent ill health, your LGPS benefits can, provided you have met the 2 years vesting period in the scheme, provide you with an immediate retirement pension, which may even be enhanced.

How can I find out what my state pension age is?

If you are not sure what your State Pension Age is you can check using this calculator. Ill health benefits can be paid at any age and are not reduced on account of early payment, in fact, your benefits could be increased to make up for your early retirement.

How old do you have to be to get state pension in UK?

However, your benefits are only payable in full if you voluntarily retire and draw your benefits from your Normal Pension Age. For benefits built up from April 2014, your Normal Pension Age is linked to your State Pension Age (but with a minimum of age 65).