Can anyone answer these questions. If I get 75% of my x husbands service pension, who decides what type of pension fund my 75% would go in to when a pension sharing order is made.
Is it likely that the fund would be subject to the same rules as the final salary service pension? If not could a lump sum be taken from this pension to help buy a house rather than taking out a mortgage.
If this is possible would it have to be sorted out before the pension sharing order is finalised?
When the 75% 25% split is made do both new pensions stay as final salary schemes or would they be moved to a newer forces scheme.
We have agreed on the above split as he has other pensions which I am not touching.
Trying to find a FA who specializes in forces pensions is hopeless if you live in the north,so trying to get answers is proving difficult.
In the private sector the Trustees can either keep the "pension credit" due to you in the scheme or insist on it being transferred to a personal pension plan. If this is the case, is is subject to rules around the age it can be taken (usually no earlier than age 55), and the amount of cash that can be taken. However, as it is a forces pension, different rules may apply.
Why don''t you google it first? I would, however, get something in writing from the administrator.
I too am forces wife.I''ve been married 30yrs.& he has told me I could get 50/50 split with his pension.However, I''ve heard that if I take it at 55yrs old I will only recieve 25% of my half as I would be drawing the Penion before I''m 65yrs old. He however gets his Pension now.I would be interested to read about the lump sum.
Had a look at website found it useful also looked on MOD website and discovered they have stopped processing any applications relating to Divorce (including pension sharing orders) and Transfers received after 25 October 2011.
I thought the problem processing applications had been resolved although there maybe a backlog.
You may need an actuarial valuation to ensure the pension is shared "fairly" i.e. complies with Matrimonial Causes Act 1973 and other law. Under standard actuarial accounting, public pension plans discount liabilities so CETVs for service pensions are undervalued. An IFA with experience of divorce and pensions should be able to help with forces'' pensions.
Can''t remember from the top of my head whether a credit member can actually transfer out of a forces pension, but if you can you would really need financial advice about the best option for you. You need to know where the pension is going so that the pension scheme can be appropriately instructed.
Pensions are a long term investment and aren''t usually realisable until you are eligible to take the pension.
Once the PSO is in place it remains within the forces pension and cannot be transferred out.
You will become a credit member in your own right and will be able to draw the pension at 55, if you decide to take it before 65 the pension will be actuarily reduced. Part the pension will be as a lump sum but cannot be taken before you draw the pension.