Many of you will be leaving service with a preserved or deferred pension. Most of you will leave those benefits in MOD’s safe hands but some of you will be wondering whether to move them to another scheme.
In this article written by us for the summer issue of Easy Resettlement Magazine we look at the transfer rules and some of the things to consider when deciding whether to do so.
The AFPS rules, in a nutshell:
- Only a deferred/preserved pension may be transferred. Once your is in payment, it may not be transferred;
- Benefits may not be transferred to overseas schemes or to Defined Contribution/private pension schemes. You may transfer them to other Defined Benefit (DB) schemes.
- Transfers to other public sector schemes must be done within 12 months of being eligible to join the new scheme – the clock starts ticking as soon as you are eligible to become a member of the new scheme irrespective of whether you are in fact a member. Other DB schemes may also have time limitations for transfers, so do check.