To opt out of my teaching pension?

[Artfullydead]

Just that, really ... any thoughts?

We could really, really use the extra money tbh.

By the time you're 60 you will want to retire early. Trust me. And your future self will kick your current self if you've fucked it up.

I'm sorry to sound rely critical, but you're looking to quit your pension, which is essential what you'll be living on for a significant amount of time. Yet you seem totally ignorant to so many key facts, how much you pay each month for example! - I appreciate most people probably don't know the exact amount, but you can't pin it down further than "several hundred pounds I think", are you always so lax with financial details? - That could be a significant redflag as to why you're in this situation, and should probably addressed as a priority rather than just kicking the financial deficit down the road, until a time when you'll be out of all other options to be honest.

"Thing is, I want to be part time now, when my kids are young, not at 60 when they are in their twenties." - Don't we all, but we don't live in a fairy tale and just have to deal with our responsibilities.

I genuinely hope you manage to find a way through the situation without shackleing your future self

I was public sector and during maternity leave I once froze my pension which was a mistake as when I was able to afford AVCs it cost me a fortune to make it up.

However I turned out to be so glad I did make it up as after some years I became ill and was able to claim medical retirement while still in my forties. That has been a godsend.

Please suck it up and pretend the money never existed. Once your dc are little older it will all get easier.

Don't opt out. It is really worth having. My MIL took hers at 60 and FIL took his at 57. His was slightly reduced because he took it early but he got three full years of pension istead. They both got lump sums of I think twice their salary as well. They have paid a lot in over the years but are now comfortably off in their mid 60s and have security.
The teachers pension scheme is a really good one but teachers do contribute much more now. MIL's brother is an accountant and he advised DH and I to not consider leaving it. He said we would be mad and would really regret it.

It's not critical (well, it is, but constructively so :))

It isn't living in fairyland though. My mum died in her 50s which is in the back of my mind (and I know about death in service but it's not much tbh.)

OP dropping the pension contribution won't free up any time with your dc.

Is dh's pension good? Could he reduce his if the return isn't great?

It would mean I could drop to 4 days

You would be really fucking stupid to opt out. Don’t do it, it’s incredibly short sighted.

Dropping out is madness

I don't see why it's fucking stupid when I'm desperately short now to consider not paying hundreds into something I will probably never get to claim.

artfully
and I know about death in service but it's not much tbh
you need to read more
www.teacherspensions.co.uk/members/working-life/life-events/death-in-service.aspx

OP, are you paying for childcare just now?

When my DC were young, I was SO poor between that & a large mortgage.

We were both earning fairly good salaries but it really was a struggle financially. It was a bit of a shock to be so poor at that stage of life.

Yes, so if I die DH gets money for a year. That's it.

Sorry if this has already been said, but don’t forget you get tax relief on your contributions, so if you opt out it you wouldn’t get the full contribution in your pay as you would pay more tax.

You would lose death benefit.

And don’t forget that your employer is paying probably more than 20% of your salary for your defined benefit pension.

Don't. Really.

SMIL cashed in hers. Fortunately FIL didn't. They often mention how much better of they'd be if she hadn't.

Yep, paying for childcare. It's not just that though and tbh it's going to be an issue for at least the next decade.

Artfully
Your DH will also get the widowers pension for the rest of his life
you REALLY need to understand what you are walking away from

Your DH will get 3x your salary plus your pension

Don't do it. It's not do much about what you can claim from 69 but it's the ill health provisions that you'll miss out on - so if you were too ill to work you could claim your pension to be paid from the point at which you were ill.

My friend had this from LGPS and is so grateful she continued with the pension.

Why do you think you will not claim it, do you have a hereditary condition? If not then you do not know how long you will live and can't just bank on dying young.

If you're struggling now, it will be nothing compared to how much you struggle at retirement if you give up so much of your pension.

Oh great so dh lives the life of reilly after I'm dead!?

Death in service is three times annual salary for a year. Would you deprive your kids of that?

And your pension contributions are tax and NI free - stop paying them and you'll lose 32% of that money. Please listen to us, we know what we're talking about.

It’s a really good deal. Don’t unless you really have to. This from someone in last 10 years of career looking at all the big gap.

It would mean I could drop to 4 days

Which realistically, for teaching, would still mean you end up working 5 days. I doubt you'd relax on your day off, as you'd be thinking of all the things you need to do to free up time at the weekend instead. Also when you children start school, they won't be there to spend time with on your day off.