For those readers not old enough to remember SERPS
, it was the State Earnings Related Pension Scheme that acted as a top-up to the basic State Pension for a while.
This money is called protected rights, but you may also know it as a contracted out pension, a SERPS
pension or an Appropriate Personal Pension (APP).
Let's look at SERPS
, the State Earnings Related Pension Scheme, first of all.
The next priority is to secure guaranteed minimum pensions (GMPs) for those deferred pensioners who were contracted out of SERPS
People were given an estimate of what their SERPS
pension would be, showing how much of this could be passed on to a surviving spouse.
The general rule of thumb is that those of a cautious nature may be best served contracting into SERPS
regardless of age.
and S2P are linked to earnings and the length of time you are a member of the schemes, but no one knows how payments could be affected by future governments changing the rules.
is the state pension top-up scheme, so if you remain outside it you will receive the basic state pension, with no top-up, plus whatever pension your personal plan earns.
Women with a husband who dies from April next year were to lose their rights to half his State Earnings Related Pension - SERPS
- as the result of a cut sneaked through by the Tory Government 13 years ago.
Surely the correct action was to have made SERPS
the means of providing a second pension and one which employers are compelled to contribute to.
Financial executives have been in pursuit of new ways to fund SERPS
This is the result of a penny-pinching cut in SERPS
set in motion by the last Tory government in 1986.