DBS Pension

[mr double 77]

I start with DBS in October as a mainline driver, and am wondering if anyone who's already contributing to the pension with them can help, firstly how much is a advisable amount to put in each month, secondly do DBS contribute anything towards it themselves, also a driver who previously worked for them mentioned AVC contribution method but I don't understand what this is ? And I have a Armed Forces pension would anyone advise me moving that across if you can do that, sorry in advance for all the questions but I know things have changed regarding this in the company, thanks again for any replys

 

[Atishyou]

I start with DBS in October as a mainline driver, and am wondering if anyone who's already contributing to the pension with them can help, firstly how much is a advisable amount to put in each month, secondly do DBS contribute anything towards it themselves, also a driver who previously worked for them mentioned AVC contribution method but I don't understand what this is ? And I have a Armed Forces pension would anyone advise me moving that across if you can do that, sorry in advance for all the questions but I know things have changed regarding this in the company, thanks again for any replys

I believe there are two options for contributions: circa 9% and I think 11%, allowing you to retire at 65 and 60 respectively.

DBS do contribute, It's 14% and 16% in line with the 9/11% respectively.

AVC is what the old school call BRASS I think, where you can pay extra and they invest it for you - minimum of £2 a week.

I could be wrong with the Armed Forces one, but in general, DB don't allow transfers of other pensions into their railway one.

 

[mr double 77]

Thanks for the reply it's much appreciated, need to start planning now for October as had my medical yesterday and all fine, so will be handing my 3 months notice in today.
I will probably give HR a call once contract arrives to see regarding my army pension being transferred over, do you currently drive with DBS ?

 

[Atishyou]

Thanks for the reply it's much appreciated, need to start planning now for October as had my medical yesterday and all fine, so will be handing my 3 months notice in today.
I will probably give HR a call once contract arrives to see regarding my army pension being transferred over, do you currently drive with DBS ?

Have you had the contract/ job offer through?

I don't but I know someone well who does.

Congrats on the job though.

 

[W230]

And I have a Armed Forces pension would anyone advise me moving that across if you can do that, sorry in advance for all the questions but I know things have changed regarding this in the company, thanks again for any replys

I'd definitely take independent financial advice before transferring any pensions but would imagine that you're probably best leaving the military pension where it is. You would (I presume) have access t o it sooner this ay too?

 

[Casey Jones125]

I'd definitely take independent financial advice before transferring any pensions but would imagine that you're probably best leaving the military pension where it is. You would (I presume) have access t o it sooner this ay too?

MD,

My advice is to keep your Armed Forces pension completely seperate, it was hard earned, the last thing you need is the civvy pension world to go tits up and you have lost it.

 

[Bill Stanier]

Indeed, keep your Mil pension where it is (take professional advice, but choose your professional VERY carefully if you do!).

ACVs are a monthly payment over and above your company pension contributions, and usually invested separately outside the main scheme. On retirement they produce a 'lump sum'. In my day (I retired 2008) this almost exclusively had to be used to buy an annuity - you give them the money, they give you a monthly income. But recently the rules have changed on this.

Leave the mil pension where it is.

Join the company scheme.

Take (careful - there are sharks out there!) advice on AVCs.

 

[Legzr1]

I believe there are two options for contributions: circa 9% and I think 11%, allowing you to retire at 65 and 60 respectively.

DBS do contribute, It's 14% and 16% in line with the 9/11% respectively.

AVC is what the old school call BRASS I think, where you can pay extra and they invest it for you - minimum of £2 a week.

I could be wrong with the Armed Forces one, but in general, DB don't allow transfers of other pensions into their railway one.

Your figures look about right but you DBS bods need to take advice on 'Smart' pension scheme - when I was with them it was offered as an opt out choice (naughty) but the Union was very slow to offer any advice from experts so most chose to stick with the old system - I'm not even sure if new starters are given an option anymore...

Brass (and Brass2) where similar to AVC bar one significant point - AVC's do not attract any employer matching - Brass did and was an obvious choice.

AVC's need to be considered carefully - top rate tax payers could benefit from them (taken from top line wage, tax free then taxed at a [possible] lower rate come maturity) - I see the benefit for those with disposable income but would question whether a young family would be better off using the cash to pay off a mortgage earlier or clearing other debt such as credit cards, school fees and the like.

An IFA should be sort and I'm sure a union rep could put you in touch.


Edited to add:

DBS pensions are part of RPMI and it's an excellent scheme - totally outperforming most other 'private' options - one of the few 'no brainers' nowadays.