Contracted out of SERPS, is this a bad thing?

[MarshPhantom]

I contracted out of SERPS back in the early Nineties and haven't given it much thought until now. Having done a bit of research there seem to be a few stories around about it being a bad thing and also that it was widely mis-sold.

Can I contract back in and would this be a good idea?

[uknick]

Depends on who you contracted out to. And, what your current pension forecast looks like.

[megaphone]

Are you employed? My mate was told to contract back in , he is in his 50s, why not give HMRC a call and ask for advice?

[MarshPhantom]

I think it's Legal and General I contracted out to, I'm not paying into a pension at present as have been putting money in ISAs for the last few years.

Good advice re. HMRC, thanks for the replies.

[megaphone]

You should have had a statement from the pension provider, should give you all the info re payments and projected pension. Best read this first then seek advice.

[jdearden]

megaphone said:

You should have had a statement from the pension provider, should give you all the info re payments and projected pension. Best read this first then seek advice.

Projections on most pensions means nothing really. We review pensions and the a mount of times % like 8% are used as a projection by the provider on a fund that hasn't done more than 3% in 10 years.

Feel free to message me if. U have any questions or would like some help.
Please ignore company in my profile. I can't seem to remove it

[MarshPhantom]

That's great, thanks. I'll have to dig out a statement from L and G.

[jdearden]

megaphone said:

You should have had a statement from the pension provider, should give you all the info re payments and projected pension. Best read this first then seek advice.

Projections on most pensions means nothing really. We review pensions and the a mount of times % like 8% are used as a projection by the provider on a fund that hasn't done more than 3% in 10 years.

Feel free to message me if. U have any questions or would like some help.
Please ignore company in my profile. I can't seem to remove it

[ellroy]

Think you may find the ability to contract out has come to an end.

SERPS is no more.

As such everyone going forward is effectively 'contracted in' due to state second pension legislation.