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Pension - faster accrual

3 replies

Fairydustandsparklylights · 05/02/2023 11:02

Does anybody do this? Is it worth it? It seems like a lot extra for not that much more per year. I don’t really understand it though if I’m entirely honest. Any advice is welcome. Thanks.

OP posts:
NotAnFA · 05/02/2023 12:55

The maths says that additional pension is better value:

Margo34 · 05/02/2023 16:58

I do faster accrual because it makes me feel better about working part time (but I haven't really done the maths).

I will have to investigate whether additional pension would make me feel even better instead!

frugalkitty · 11/02/2023 19:42

I think it depends on your age. I've gone back in late 40s and according to the calculator on the TPS website, it will cost me just under £2k a year for an extra.....drum roll.....£100 a YEAR boost to my pension. Can't be worth it for me, I'd get a much better return putting that money into something else (SIPP? S&S ISA? AVCs? I'm not sure yet, still trying to work it out). Even the additional pension option at my age isn't worth it.

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