Part time pension concerns

[Callfour]

I worked full time for a decade at secondary, and have been 0.6 for several years. My DC are at primary school, and I have started to worry about my pension.

I should go back full time to improve my pension, but I'm not sure my sanity will survive, and I'm worried I won't have any time and energy left for the DC.

I'm also UPS 3, so I'm worried that nobody will want to employ me full time!

Has anyone been in this position, and what did you decide about returning full time? How did it work out, please?

I was part time until my youngest was in year 3. Then I went from 3 days to 4 and very quickly to 5. I was able to do it at my current school due to covering for other staff who were leaving. It was tough but fine. I found I was my days off cleaning or doing school work so decided I was better off working and getting paid. Like you I had my eye on my pension.

Thank you for replying. I have thought about going up to four days, although I'm worried they'd try and split my 0.8 over five days so I wouldn't gain a lot, if that makes sense. I think I might look into that though.

I think I was hoping that someone would say that they stayed part time too, though I know that's not realistic in terms of pension. But the job already takes over so much of my life on three days!

Have you looked at the flexibilities calculators on TPS? That might be something to consider for topping up your pension. I've been conscious and worried of the impact on my pension from as soon as I went part-time.

www.teacherspensions.co.uk/members/calculators/flexibilities.aspx

I remained part time.

You can see on the TPS site how many years you’ve accrued when you login. Start by looking at that.

To be honest, I wouldn’t work more or full time purely for pension, if I didn’t need to do it for salary for living now. Yes, the pension will be smaller, but it might not be as big a hit as you think. It’s probably better to stick with a working pattern you can sustain as you are also building up more years of NI contributions towards your state pension and that will make up a big chunk of your retirement income.

In terms of how much difference going from 0.6 to 0.8 makes, here’s an illustration;

• Career average pension now accrues at 1/57
• If you earn £57k and work full time your pension grows by £1k per year. It is then adjusted upwards for inflation.
• If you were in £57k full time but work 0.6 instead, the yearly pension grows by £600 and if you work 0.8 it grows by £800. These are all amounts to be taken at state retirement age. You can have less per year if you take if sooner.

So, depends how many more years you plan to work. Another 10 years of doing 0.8 instead of 0.6 will boost your yearly pension by £2k plus the yearly inflation adjustments added on.

Whether this is necessary and worth it depends on the overall picture of your retirement finances. How close to full state pension will you be? (Check on the government gateway if you don’t know) - if you get the full amount that’s £10k per year. Also, what retirement income will your DH be bringing into the house? It’s right to know your position but also the household income too.

You need to calculate roughly what you’ll need to live on in retirement. The Which site and various pension sites give suggested figures for basic, moderate and luxury retirement for singles and couples. I think they suggest something like £28k could provide a comfortable retirement for couples. It’s less than you think because you won’t be making pension contributions or paying much tax.

So, look at all that and then see if you need to work more hours. It might be that the gain isn’t worth it. That’s what I concluded anyway, because we have enough to live on now, I also had 10 years full time contributions and would have many years of part time, as well as DH also having a decent pension.

I did about 5 years full time then had dd1 and have been 0.6 part time (3 days/week) since. I too have considered upping my hours, just to 4 days, as dd2 will be starting secondary in September.

But I don't think I can face it tbh. Working in education is hard enough as it is right now, I don't think I would still be teaching if I wasn't only doing 3 days. It's the perfect work/life balance imho and I don't want to risk destabilising that!

@WombatChocolate Thank you so much for taking the time to write this. My state pension is definitely on track, and it's interesting to think of how much of a difference working more days would actually make to my teacher pension. We have enough to live on now, and I worry that teaching wouldn't be sustainable to try and work full time around family life at the minute.

@Meredusoleil that's exactly how I feel. I worry that it is working for us now, and I don't want to destabilise anything. There are times when I've wanted to leave teaching altogether, and working 3 days removes that feeling!

I have thought about offering to do 'supply' in my own school sometimes on my days off - they have asked me to before, although that was when everyone was off with covid! It might remind me of what it's like to work a full week!

I'm 0.6, in my mid 50s and simply don't have the mental reserves to do more. I've worked P/T since my DC were born - oldest is 23 - so my salary/pension has taken a hit. However, my ancient father is currently staying with me and I love the fact that I can spend days off with him. My mum died suddenly when she was younger than I am now, so who knows if I'll even make it to pension age. I know that I'd rather have the lower hours but quality of life now.

I'm about to retire soon (at 60) after being 0.6 for the last 24 years.
Pension is okay. State pension plus TPS.
But I feel I will actually live to enjoy my pension, not collapse at about 70.

No way I'd go back to FT just for the additional pension.