Ask the admin team – answers to your most-asked questions

1.  What age can I start taking my pension?

You can usually take your pension from the Scheme at any time from age 55 (rising to 57 from April 2028).

If you start taking your pension before your Normal Retirement Age (which you can find by logging in to your PRISM account), your starting pension will be lower than if you had waited until your Normal Retirement Age. This is because you would start receiving payments sooner, and they are expected to be paid for a longer period.

If you start taking your pension after your Normal Retirement Age, your pension income will be increased to reflect the fact that it’s expected to be paid for a shorter period.

2.  How do I get a retirement quote?

• You can quickly and easily view an estimate of your pension if you log in to your PRISM account.
• Eligible members can also access a Pension Planner tool after logging in to your account. That will show you an estimate of the amount you might receive based on your current pension information.
• You can also submit a request for a pension illustration showing your estimated pension at a future date, and view the results online, or request a formal retirement quote.
• Alternatively, you can contact the administration team.

3.  Can I start taking my pension earlier than age 55 (57 from April 2028) if I am sick?

If you are younger than 55 (57 from April 2028), you cannot start taking your pension. However, if you are suffering from a terminal illness, and your doctor confirms that your life expectancy is 12 months or less, you may be allowed to exchange your pension for a lump sum.

You may also be able to start taking your pension early in cases of retirement due to ill health, depending on whether conditions are met.

4.  How is my pension income taxed?

Your pension is treated as income for tax purposes, so it will be paid to you after income tax has been deducted.

When your pension first starts, we apply an ‘emergency’ tax code. After that, we only make changes when we receive instructions from HM Revenue & Customs (HMRC), who decide which tax code should apply to your pension.

While personal allowances currently exceed the level of State Pension, any increase in State Pension may result in more income tax being paid from your BSPS pension.

If you have any questions about your tax code or how your pension is taxed, please contact HMRC directly. It’s helpful to have your National Insurance number to hand when you get in touch. You can find more information or contact HMRC by visiting www.gov.uk/contact-hmrc. 

5.  Can I transfer out my benefits?

If you’re not yet receiving your pension from the Scheme, you may be able to transfer your pension to another provider. If you’re within 12 months of your Normal Retirement Age, you’ll need the Trustee’s consent before a transfer can go ahead.

If you transfer out of the Barnardo Staff Pension Scheme, you might still be a member of Barnardo’s Aviva Defined Contribution scheme.

If you transfer your pension from the Barnardo Staff Pension Scheme, you’ll be giving up your guaranteed income for life in exchange for a cash value, which is related to the amount of money the Scheme needs to hold now, to pay your pension for the rest of your life. This cash will be paid over to another pension scheme that you have chosen. Once your transfer is complete, you and your family will no longer be entitled to any benefits from the Barnardo’s Scheme.

If you transfer to a Defined Contribution (DC) pension scheme, you may have more flexibility over how and when you take your pension. However, it’s important to understand that the amount in your pension will depend on investment performance and charges and depending on the way you take your pension savings, your pension could run out if you take too much or investments don’t perform well.

Transferring out of the Scheme is permanent – once it’s done, you can’t change your mind!

There’s a lot to consider if you’re thinking about transferring your pension, so it’s important to take independent financial advice before making a decision (see question 21).

If your transfer value is £30,000 or more, you are legally required to take financial advice before your transfer request can be processed.

Finally, please be aware of pension scams. Always take time to check who you’re dealing with. You can watch our short video or read the ‘Avoiding pension scams’ page on this website for tips on how to protect yourself.

6.  How do I get a transfer out quote?

You can submit a request for a formal transfer quotation, which is guaranteed for three months, that you can use when exploring a potential transfer with your Financial Adviser.

There may be a charge if you request more than one transfer value a year.

Alternatively, you can contact the administration team.

7.  What benefits are payable to my spouse / dependant(s) when I die?

In addition to providing a pension when you retire, the Scheme also offers valuable benefits for your family and dependants if you die.

A pension will usually be paid to your spouse or civil partner and/or any dependent children. (A dependent child is usually under 17, or under age 23 if they are in full-time education or vocational training. An older child can also qualify if they are unable to work due to a permanent physical or mental impairment.) These pensions are a proportion of the pension you have built up or are receiving and are designed to help support your loved ones financially after your death.

If you haven’t yet started taking your pension and you have no spouse or dependants, a lump sum will be paid to your estate or nominated beneficiaries.

Some death benefits are paid at the Trustee’s discretion. This means the Trustee will look at your personal circumstances and decide who should receive any benefits, based on the information available after your death.

To help make sure your wishes are known, it’s a good idea to complete an Expression of Wish form and keep it up to date. This lets the Trustee know who you’d like any benefits to go to if you die.

8.  I am not married but am living with my partner. If anything happens to me, would my partner be able to claim a pension from the Scheme?

Unmarried partners do not have the same rights to a deceased partner’s pension as married or civil partners.

If you’re not married, your partner would need to show that they were financially dependent on you before your death and that they cannot reasonably support themselves financially.

Because of this, an unmarried partner might not be eligible for a pension, or they may only receive a reduced amount – for example, if they are working, have their own savings or other income, or will receive a significant inheritance.

9.  How do I obtain an Expression of Wish form?

It will take you no more than 10 minutes to update your Expression of Wish online. Simply:

1. Log in to your PRISM account.
2. Click on ‘Requests’ on the bottom right of the page.
3. On the ‘My Membership Details’ page, select ‘Update my Nomination’.
4. Add or update details of any dependants you would like to receive benefits payable on your death and then submit your changes

If you’re unable to update your form online, you can contact the administration team and they can send you a paper form to complete and return.

10.  How long does it take to process death benefit requests?

Processing death benefit requests can be a complex process, especially in cases where the individual has not completed a recent Expression of Wish form.

As a result the time taken to confirm, process and begin paying out death benefits can vary depending on the individual.

If you have not completed an Expression of Wish form recently (to tell the Trustee who should receive any death benefits), see question 9 above.

11.  What do I need to provide when contacting the administration team?

For most queries we will need some information to make sure we are speaking to the right person, and to cover any security checks.

To make sure your query is handled efficiently we’ll usually ask for your name, address and National Insurance number.

Warning – be wary of scammers and don’t give your personal details to someone calling unexpectedly.

12.  How do I change my personal details?

You can tell us about any changes to your personal details and review the information we hold about you quickly and easily if you log in to your PRISM account.

If you’re unable to update your address online, you can contact the administration team.

13.  How do I change my bank account?

If you’re already receiving your pension and want to change the bank account your payments go into, you can  contact the administration team and they will send you a mandate. You will need to return a signed copy with a copy of your bank statement.

We take the security of your personal information very seriously. To prevent potential identity fraud, the Administrator may need to verify your identity before processing your request and you may need to provide supporting documents.

Please make any changes at least 14 days before your next payment is due (usually by the 6th of the month), to allow time for processing.

14.  How do I change my address?

You can inform us of your change of address quickly and easily if you log in to your PRISM account.

If you’re unable to update your address online, you can contact the administration team.

15.  How do I get a secure link to provide documents?

If you’re asked to send us documents – for example, proof of a change of address or bank details, or a copy of your birth or marriage certificate – please don’t search online for a general upload link or send documents through unsecured websites or email.

The admin team can provide you with a personal, secure link when documents are required. This ensures your personal information is kept safe and confidential at all times.

If you have received a request to provide documents and you’re unsure whether this request is genuine, or you are waiting to receive a secure link, please contact the administration team on 0121 212 8188 or by emailing [email protected] before sending any documents.

16.  How long does it take the administration team to respond to queries?

This depends on how complicated your question is, however, we aim to respond to most requests within 10 working days. If your request takes longer than 10 working days to complete, we will provide you with an update.

Our response time can also be affected by the volume of requests that we receive.

17.  What are AVCs?

AVCs (Additional Voluntary Contributions) are addition pension contributions you could have chosen to pay while you were building up benefits in the Scheme, to increase the income you receive in retirement.

If you paid AVCs, these are invested in your choice of funds, which you can review and change at any time, and their value will change depending on investment returns.  You receive an annual statement each year which includes information on the value of your AVC account and an estimate on what that may provide for you at retirement.

18.  Where are my AVCs invested?

It’s important to make sure your AVCs are still working for you, especially as you approach retirement.

Your AVCs are held separately from your main Scheme benefits and you can see how they are invested on your annual benefit statement. We recommend that you check that you’re happy with how your money is invested regularly, as your circumstances and retirement goals may have changed since you last reviewed your choices.

When reviewing the investment of your AVCs, think about:

• Your target retirement date and when you plan to start taking your benefits.
• The level of investment return you’d like to achieve.
• The level of risk you’re comfortable taking.
• The performance of the funds your AVCs are currently invested in.

The investment option(s) that are right for you will depend on your own personal circumstances and retirement plans.

If you would like to make any changes to your AVCs then please contact the administration team.

19.  What happens to my AVCs when I want to start taking my pension?

You can use your AVCs in a number of ways to suit your own personal circumstances. For example:

• You have the option to exchange some of your defined benefit pension for a tax-free cash sum at retirement. However, you can use your AVCs to fund some or all the tax-free cash sum so there is less or no reduction to your regular pension income.
• Alternatively, you can transfer your funds out of the Scheme to a pension provider where they can:
  • Be withdrawn as and when you need them, or as a single taxable lump sum
  • Be used to buy additional pension income (known as an annuity), with the option to take up to 25% as a tax-free cash sum.
  • Stay invested until you are ready to use them.

The option that is right for you will depend on your own personal circumstances and retirement plans.

For more information, or for a free guidance appointment about your options visit the Government website https://www.moneyhelper.org.uk/en/pensions-and-retirement/pension-wise.

20.  What do I do if I’ve lost my password for PRISM, or haven’t registered yet?

If you’ve forgotten your password or haven’t registered yet, there’s a simple process to reset your password or register directly from the login page.

21.  Where can I go for advice about my pension?

Neither the Trustee, Barnardo’s, nor their advisers can provide you with financial advice about your pension in the Scheme or your AVCs. If you need help deciding what to do, you may wish to speak to a professional financial adviser who is authorised and regulated by the Financial Conduct Authority (FCA).

You can access free guidance (not advice) from the following trusted sources:

• MoneyHelper – www.moneyhelper.org.uk
• The Pensions Regulator – www.tpr.gov.uk
• The Financial Conduct Authority – www.fca.org.uk
• Pension Wise – a free and impartial Government service to help you understand your options.
  • Visit online: Pension Wise via MoneyHelper
  • Call: 0800 138 3944
  • Face-to-face appointments also available.
    
    

If you do wish to take professional financial advice, you can find guidance on finding and choosing a qualified adviser who is regulated by the Financial Conduct Authority, by visiting the ‘Choosing a financial adviser’ page of the MoneyHelper website. You should check the cost you will need to pay for any advice before making an appointment.

The Trustee, and their advisers do not accept any liability for any advice provided by a third-party adviser or for any errors or omissions in that advice.