{"id":970,"date":"2018-01-21T12:34:52","date_gmt":"2018-01-21T12:34:52","guid":{"rendered":"http:\/\/www.wealthatwork.co.uk\/jpm\/?p=970"},"modified":"2018-06-14T10:32:20","modified_gmt":"2018-06-14T10:32:20","slug":"should-you-transfer-out-of-your-final-salary-scheme","status":"publish","type":"post","link":"https:\/\/www2.wealthatwork.co.uk\/jpm\/2018\/01\/21\/should-you-transfer-out-of-your-final-salary-scheme\/","title":{"rendered":"Should you transfer out of your final salary scheme?"},"content":{"rendered":"<p><img decoding=\"async\" class=\"alignnone size-full wp-image-4859\" src=\"http:\/\/www2.wealthatwork.co.uk\/mywealth\/wp-content\/uploads\/sites\/29\/2018\/03\/shutterstock_1038948316-large-web.jpg\" alt=\"shutterstock_1038948316 large web\" width=\"100%\" height=\"auto\" \/><\/p>\n<p>Individuals are being warned to ignore vulture advisers hoping for rich pickings from employees looking to transfer their defined benefit (also known as final salary) pension scheme, especially in light of \u2018high\u2019 reported transfer values. Sally Hamilton, The Daily Mail, asks Jonathan Watts-Lay, Director, WEALTH at work about this.<\/p>\n<p>He responds; \u201cI have seen offers to transfer the equivalent of 40 times a worker&#8217;s retirement income. So someone expecting a \u00a320,000 annual pension may be tempted by the offer of an \u00a3800,000 lump sum.\u201d<\/p>\n<p>But Watts-Lay warns; \u201cThe disadvantages include giving up guarantees, a loss of inflation-proofing and benefits for a spouse after death.\u201d<\/p>\n<p>Watts-Lay says a compromise that is available to some people is to take a partial transfer \u2013 offered by around 15% of schemes \u2013 adding; \u201cYou can have your cake and eat it, but it is not widely available.\u201d<\/p>\n<p>To read the full article in The Daily Mail, please <a href=\"http:\/\/www.dailymail.co.uk\/money\/pensions\/article-5292033\/Beware-vultures-circling-gold-plated-pensions.html\">click here<\/a>.<\/p>\n<p><strong>Transferring from a defined benefit pension scheme can mean that you will be giving up valuable guaranteed benefits and you might find yourself worse off. There are many things to consider. Read our checklist <a href=\"http:\/\/www2.wealthatwork.co.uk\/mywealth\/2017\/05\/02\/is-it-a-good-idea-to-transfer-out-of-a-defined-benefit-scheme\/\">here<\/a>.<\/strong><\/p>\n   ","protected":false},"excerpt":{"rendered":"<p>Individuals are being warned to ignore vulture advisers hoping for rich pickings from employees looking to transfer their defined benefit (also known as final salary) pension scheme, especially in light of \u2018high\u2019 reported transfer values. <\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[],"_links":{"self":[{"href":"https:\/\/www2.wealthatwork.co.uk\/jpm\/wp-json\/wp\/v2\/posts\/970"}],"collection":[{"href":"https:\/\/www2.wealthatwork.co.uk\/jpm\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www2.wealthatwork.co.uk\/jpm\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www2.wealthatwork.co.uk\/jpm\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www2.wealthatwork.co.uk\/jpm\/wp-json\/wp\/v2\/comments?post=970"}],"version-history":[{"count":4,"href":"https:\/\/www2.wealthatwork.co.uk\/jpm\/wp-json\/wp\/v2\/posts\/970\/revisions"}],"predecessor-version":[{"id":1015,"href":"https:\/\/www2.wealthatwork.co.uk\/jpm\/wp-json\/wp\/v2\/posts\/970\/revisions\/1015"}],"wp:attachment":[{"href":"https:\/\/www2.wealthatwork.co.uk\/jpm\/wp-json\/wp\/v2\/media?parent=970"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www2.wealthatwork.co.uk\/jpm\/wp-json\/wp\/v2\/categories?post=970"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www2.wealthatwork.co.uk\/jpm\/wp-json\/wp\/v2\/tags?post=970"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}