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Paying into added years...

Discussion in 'Retirement' started by richest1, Oct 17, 2018.

  1. richest1

    richest1 Occasional commenter

    My wife already pays into added years up to the old limit that she could of around 7 years.

    Is it possible to still add to her pension by paying in more? was this made possible recently?

    She retires next summer, and she wondered if it would be financially worthwhile to do so.

    Thanks for the help.
     
  2. chipsfortea

    chipsfortea New commenter

    No, the Past Added Years scheme was discontinued for new arrangements or changes several years ago. There is now a money purchase scheme in increments of £500 a year (I think) . I did look at it and it's very expensive unless you know you will be drawing that pension for a very long time.
     
    richest1 likes this.
  3. emerald52

    emerald52 Star commenter

    I paid into the old added years scheme. Best financial decision I made. When I applied to retire I was still two and half years short of the 10 years I opted to buy back. I could buy those back in a lump sum. I got tax relief on that payment. It meant my pension lump sum and my pension were bigger.
     
  4. rosepetal12

    rosepetal12 New commenter

    In the CARE (career average) pension, you can buy additional pension in increments of 250 pounds per annum. If you are still in your 30s and 40s, it is an absolute bargain compared to what it would cost to buy on the annuity market. The older you are, though, the more expensive it gets (but it's still cheaper than paying for it on the open market).
     
    richest1 and emerald52 like this.

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