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<p>The cost of living crisis grouped with the aftermath of the Covid-19 pandemic, the gender pay gap and late pension saving habits of some generations are among some of the main reasons why single mothers are classed as one of the most vulnerable groups in our society.</p><p>And they are not a small segment either. According to Scottish Widows’ latest Women and Retirement Report, released in November 2022¹, there are nearly 1.7 million single mother households in the UK today, and they constitute 20% of households with children (there are also around 200,000 single fathers).&nbsp;</p><p>This Single Parents Day - 21 March - we look at how each one of the factors has impacted and collectively led to single mothers having to experience extreme financial difficulties in their daily lives and how they can be supported with saving for retirement. We do this together with Julie Ann Mavin – a professional, a pension saver and a single parent to a teenager. We’re bringing Julie Ann’s perspective in, hearing it first hand from someone who is living the working single parent life and knows what that encompasses – the good and the bad.</p><p>&nbsp;</p><h3>Single mothers taking the biggest hit<br></h3><p>Times are extremely hard for many people in the UK, but research shows that the cost of living is putting a major strain on single parents with single mothers being affected the most. There are a number of reasons for this with <strong>the gender pay gap</strong> and <strong>the cost of childcare</strong> taking a prevailing role.&nbsp;</p><p><br></p><h4>Women earning less than men<br></h4><p>The significant gender gap in income between men and women, with women earning a lot less than men, means women have less capacity to meet increasing financial demands. According to the report cited above, the average man earns over £30,900 a year with the average woman earning over £21,900.<br></p><p>PwC’s Women in Work Index 2023² found that what they call motherhood penalty – the financial strain put on women raising children – has become the most significant driver of the gender pay gap. The research also suggests that affordable childcare is paramount when it comes to helping mothers feel more financially secure and having a chance to get back on the career ladder in a timely manner.<br></p><p>But is the recent announcement made as part of the Spring Statement on 15 March that free childcare will be gradually introduced from next year a light at the end of the tunnel? The pensions industry has gladly welcomed the reform news in hope that the phased launch of long-awaited free childcare for under 3s could help close the gender pension’s gap.&nbsp; <br></p><p>Naturally, women take a much bigger hit than men, taking career breaks to have children, having more childcare responsibilities and having to take more time off work. This in turn has a direct impact on their income and saving habits. There is evidence that the current financial circumstances are having a direct impact on women’s attitude to saving for later life. 16% of women have said that they have to reduce the amount they put into their pension to be able to cope with pressing financial outgoings. The ‘Women and Retirement’ report also suggests that women are having to reduce the monthly contribution they make towards their life after work by an average of £152 per month&nbsp;. By doing so, they are taking a much bigger hit, missing out on benefits such as tax relief from the government and employer contributions towards their pension. <br></p><p>Julie Ann Mavin lives in Newton Aycliffe, in the North East of England, and is a single parent to a 15-year-old boy. She said she considers herself lucky as she hasn’t felt the need to change her pension contributions so far. Julie Ann also said that saving into a pension has always been of great importance to her and she’s been saving towards her future since she was 18. <br></p><p>“Having pension provision in place for when I retire has always been important to me but now as a single person it is even more important as I need to ensure that I can support myself when my working life comes to an end.&nbsp; It is also of some comfort that a death benefit would be paid if I was to pass away.<br></p><p>“Although it’s important to have money in the bank to provide a certain standard of living for your family, you also should think about the bigger picture and how you will afford to live later in life,” added Julie Ann.</p><p>&nbsp;</p><h4>Childcare costs and work patterns<br></h4><p>The cost of childcare in the UK can often take up a large proportion of the family budget of dual-parenting households, even more so for single parents. This can make things quite difficult for single parents who are having to juggle two very important roles – bread winners and main carers for their children. Single parents charity Gingerbread³ has found that the lack of affordable childcare is what prevents single parents from going back to work or starting a job. <br></p><p>According to 2019 statistics released by Gingerbread, 40% of single parents find it difficult to meet their childcare costs. The percentage is likely to be a lot higher four years on, considering the current financial climate and the impact the Covid-19 pandemic has had on many aspects of daily life. Recent news about childcare becoming much more affordable from next year for under 3s will hopefully help ease off the financial strain and promote career development with single parents.&nbsp;&nbsp;<br></p><p>Julie Ann commented that although her son is now a teenager and she doesn’t have to factor in childcare costs in her monthly outgoings, she has definitely felt the pinch caused by rocketing inflation and the increasing cost of living. <br></p><p>&nbsp;“With the increase in the cost of food shopping and a 15% increase in school lunches, paying to feed a growing 15-year-old has become quite pricy!”<br></p><p>Research⁴conducted last year (2022) highlights that the number of single mothers working part-time has increased to 54% compared to a national average of 21%. The problem with part-time working though is that for some women it might mean they won’t qualify for automatic enrolment into a workplace pension schemes as they may be earning less than £10,000 a year. To meet the eligibility criteria workers need to be earning that or more in a single role. &nbsp;&nbsp;<br></p><p>Gingerbread also found that the Covid-19 pandemic has only worsened the situation for single parents, as long-term unemployment has increased since the start of it in 2020.<br></p><p>“Many people were furloughed or made redundant during the pandemic which will have made things even harder for some single parents. Thankfully, neither happened to me. I was sent home to work but what I found quite challenging and stressful was trying to juggle working full-time, keeping productivity to a level whilst trying to ensure that Zach did his school work.&nbsp; At that point I couldn’t have any help from my parents as we weren’t allowed to mix households,” said Julie Ann.</p><p>&nbsp;</p><h3>Single mothers face poverty in retirement<br></h3><p>2022 data has also revealed that 58% of single mothers in the UK don’t meet the financial criteria to be automatically enrolled into a workplace pension with their pension wealth dropping at an all-time low of 40% during the Covid-19 pandemic. The private pension income of a single mother now stands at £11k a year (2022), down from £18.3k in 2020.<br></p><p>The dropping numbers are in stark contrast to what is needed by a single person to have a moderate life in retirement. According to the Pensions and Lifetime Savings Association’s (PLSA) Retirement Living Standards⁵, a single person needs over £23k a year to afford a moderate lifestyle.<br></p><p>The rather negative forecast seems to come as no surprise given the great financial hardship some single parents experience these days, having to juggle solo parenting and working life at the same time. The recent pandemic and the current financial climate are making things even harder for those groups to meet increasing financial demands, with saving for a pension taking a back seat for the foreseeable.</p><p>&nbsp;</p><h3>Saving today for a better tomorrow<br></h3><p>If you’re a single parent experiencing difficulties at the moment, it’s quite possible that saving for retirement isn’t a top priority for you at this moment in time. But here are a few tips on how to get on your saving journey without having to spend an awful lot. Knowing that you’re doing something to help fund your life in retirement will also help put your mind at peace. <br></p><ul><li><strong>Start now!</strong> </li></ul><p>Even if you haven’t been auto-enrolled into the pension scheme offered by your employer due to not meeting the £10,000 minimum earnings criteria, you can ask to join it any time. Ask today! If you do qualify, but you’ve opted out of the scheme some time ago, think about re-joining – it could make a huge difference to your future.</p><ul><li><strong>You don’t have to pay in half your salary to be saving for a</strong> <strong>pension</strong></li></ul><p>Paying into your employer’s pension scheme is brilliant and has lots of benefits, but if you’d prefer to save into a private one, that’s also an option. And remember, you don’t have to save loads from the get go – you can start with a small sum you can afford to give up in the beginning and then build it up as and when you can. Every little helps.</p><ul><li><strong>Remember, saving into a pension comes with lots of valuable benefits! </strong></li></ul><p>No matter how old you are, there are some fantastic benefits from saving into a pension. From contributions from your employer and tax relief on your savings - to life cover for your loved ones should the worst happens to you while you're still working - to an incapacity pension if you can't keep working because of ill health. They all come as part of the package!</p><ul><li><strong>Be proactive</strong> &nbsp;</li></ul><p>If you happen to receive a bonus or a pay increase, for example, think about paying more into your pension if you can. With the Railways Pension Scheme, you can consider paying in Additional Voluntary Contributions (AVCs). It’s a fantastic way to give your pension a bit of a boost as you get tax relief on what you put in, you can save as little as £2 per week if you wish and you don’t need to save a set amount every month.</p><p>&nbsp;</p><p>&nbsp;</p><h2>Works Cited</h2><p>¹ Scottish Widows Women and Retirement <a href="https://adviser.scottishwidows.co.uk/assets/literature/docs/60824.pdf" data-sf-ec-immutable="">https://adviser.scottishwidows.co.uk/assets/literature/docs/60824.pdf</a> </p><p>²PwC Women in Work Index 2023 <a href="https://www.pwc.co.uk/services/economics/insights/women-in-work-index.html" data-sf-ec-immutable="">https://www.pwc.co.uk/services/economics/insights/women-in-work-index.html</a> </p><p>³ Gingerbread <a href="https://www.gingerbread.org.uk/policy-campaigns/childcare/" data-sf-ec-immutable=""><em>https://www.gingerbread.org.uk/policy-campaigns/childcare/</em></a><em></em></p><p>⁴ Now: Pension and Pension Policy Institute research <a href="https://www.nowpensions.com/about-us/fairpensionsforall/gender-pensions-gap/" data-sf-ec-immutable=""><em>https://www.nowpensions.com/about-us/fairpensionsforall/gender-pensions-gap/</em></a><em> </em></p><p>⁵ PLSA Retirement Living Standards <a href="https://www.retirementlivingstandards.org.uk/" data-sf-ec-immutable=""><em>https://www.retirementlivingstandards.org.uk</em></a><em>&nbsp; </em></p><p>&nbsp;</p>

<div>It’s a good idea to log in to your myRPS account regularly to stay updated with your savings and make sure your pension is on track for retirement.&nbsp;&nbsp;</div><div><br></div><div>The tasks below will only take a couple of minutes and could make a big difference to your life after work.</div><div><br></div><h3>Spend time with your savings, register for an online account</h3><div>To get the most from your RPS membership, <a href="https://www.member.railwayspensions.co.uk/register" data-sf-ec-immutable="">register for an online account</a>. Your online account is a secure area of our site, all about you and your pension. When you <a href="https://www.member.railwayspensions.co.uk/login" data-sf-ec-immutable="">log into myRPS</a>, you can access our excellent range of tools to make retirement planning simpler and keep your pension on track.&nbsp;</div><div><br></div><div>When you log into your online account, you can:</div><ul><li>Request an estimate if you haven’t yet taken your benefits</li><li>See what level of income you want to aim for when you’re retired with our Retirement Budgeting Calculator</li><li>Use the Pension Planner (for members currently paying into the Defined Benefit sections), or the DC Retirement Modeller (for members of the IWDC Section) to see what income your RPS pension might give you when you take your benefits.&nbsp;</li></ul><div><br></div><h3>Stay connected, keep your contact details up to date</h3><div>If you’ve moved house, have a new phone number or changed email address, you’ll need to let us know straight away. We need to have the correct contact details to tell you any updates on your pension as soon as possible. You don’t want to miss out!</div><div><br></div><div>The quickest way to do this is through your myRPS account. To update your details, go to the ‘My details’ section and click ‘Contact details’. You’ll have 24/7 access to your online account, so you can make changes to your details at a time that suits you.&nbsp;</div><div><br></div><h3>Share the love and make your nominations</h3><div>Look after to those that matter to you by making or updating your nominations online.&nbsp;</div><div><br></div><div>If you die, a lump sum may be paid out if you have not yet taken your pension benefits (or took them within the last 5 years). By ‘nominating’ you tell us who you’d like the lump sum to go to. It’s important to keep your nominations up to date, particularly if your circumstances change.&nbsp;&nbsp;</div><div><br></div><div>Making a nomination is simple. You can make a nomination in the ‘My pension’ area of your online account. Alternatively you can download the <a href="46F44BF2-28A0-43CF-87FE-2827F61E2BC3">Nomination form</a>, complete it and return it to us using the Railpen address on the form.</div><div><br></div><div>If you don’t make a nomination, the payment could be delayed, so it’s worth taking a few minutes to nominate those who are special to you.</div><div><br></div><h3>Make a lasting commitment, keep checking in</h3><div>Many of us have imagined the lifestyle we want when we retire. Perhaps you’re planning a holiday or to treat yourself to a new car. By registering for an online account you’ve taken the first step towards planning for your life after work.&nbsp;</div><div><br></div><div>To help your savings stay on target, make a lasting commitment to log in and check on your savings as often as you can. Logging in regularly means you can track savings against your retirement goals and in line with your expectations for life after work.&nbsp;</div><div><br></div>

<p>If you are in a defined contribution (DC) arrangement, such as BRASS, AVC Extra or the IWDC Section, you can decide how the money you pay into these arrangements is invested. If you don’t want to choose investment funds, you will be invested in a default arrangement.</p><p>There are a range of investments for you to choose from. How these different investments perform, determines how much money is in your pension pot and whether its value goes up, or down. </p><p><span style="background-color: rgba(0, 0, 0, 0); color: inherit; font-family: inherit; font-size: inherit; text-align: inherit; text-transform: inherit; white-space: inherit; word-spacing: normal; caret-color: auto">The first choice you need to make is how hands-on you want to be.</span><br></p><p>Do you want to:</p><ul><li>have your investment choices managed for you? We call this a <strong>Lifestyle</strong> strategy </li><li>make all of the investment decisions yourself, choosing from the range of investment funds on offer?</li><li>or a mix of both?</li></ul><p>If you can’t decide, you will automatically be invested in a Lifestyle strategy by default.</p><p>If you’re a defined benefit (DB) member, this information only applies to money you pay in to BRASS or AVC Extra. Your DB pension as a whole works differently and the benefits you receive do not depend on investment performance but on your length of service and salary. </p><h3><strong style="background-color: rgba(0, 0, 0, 0); color: inherit; font-size: inherit; text-align: inherit; text-transform: inherit; white-space: inherit; word-spacing: normal; caret-color: auto">You can have your investments managed for you with a Lifestyle strategy</strong><br><span style="background-color: rgba(0, 0, 0, 0); color: inherit; font-family: inherit; font-size: inherit; text-align: inherit; text-transform: inherit; white-space: inherit; word-spacing: normal; caret-color: auto"></span></h3><p><span style="background-color: rgba(0, 0, 0, 0); color: inherit; font-family: inherit; font-size: inherit; text-align: inherit; text-transform: inherit; white-space: inherit; word-spacing: normal; caret-color: auto">If you don’t feel comfortable looking after your investments directly, you can opt for a more ‘hands-off’ approach and choose a ‘Lifestyle strategy’.</span><br><span style="background-color: rgba(0, 0, 0, 0); color: inherit; font-family: inherit; font-size: inherit; text-align: inherit; text-transform: inherit; white-space: inherit; word-spacing: normal; caret-color: auto"></span></p><p><span style="background-color: rgba(0, 0, 0, 0); color: inherit; font-family: inherit; font-size: inherit; text-align: inherit; text-transform: inherit; white-space: inherit; word-spacing: normal; caret-color: auto">We call this ‘hands-off’ because there are fewer decisions for you to make at the outset. However, it’s still really important that you take an active interest in your investment choices and review them regularly. No investment is 100% safe and the appropriateness of the strategy you choose may change depending on your circumstances or world events.</span><br><span style="background-color: rgba(0, 0, 0, 0); color: inherit; font-family: inherit; font-size: inherit; text-align: inherit; text-transform: inherit; white-space: inherit; word-spacing: normal; caret-color: auto"></span></p><p><span style="background-color: rgba(0, 0, 0, 0); color: inherit; font-family: inherit; font-size: inherit; text-align: inherit; text-transform: inherit; white-space: inherit; word-spacing: normal; caret-color: auto">Lifestyle strategies build your pension savings while you’re still working. All investments have risk, and the lifestyle strategies have been designed with risk and return expectations that reference many members’ retirement plans – for example, some members want to take all of their pension pot as cash at once; while others might want to keep some or all of their pot invested and only take smaller lumps of cash when it’s right for them.</span><br><span style="background-color: rgba(0, 0, 0, 0); color: inherit; font-family: inherit; font-size: inherit; text-align: inherit; text-transform: inherit; white-space: inherit; word-spacing: normal; caret-color: auto"></span></p><p><span style="background-color: rgba(0, 0, 0, 0); color: inherit; font-family: inherit; font-size: inherit; text-align: inherit; text-transform: inherit; white-space: inherit; word-spacing: normal; caret-color: auto">There are 3 Lifestyle strategies offered by the RPS:</span><br></p><ul><li><strong>Annuity Purchase Lifestyle strategy</strong> – this is typically selected by members who want to convert their pension pot to a fixed-interest regular payment (an annuity) when they take their benefits.</li><li><strong>Flexible Drawdown Lifestyle strategy</strong> – this is typically selected by members who want to invest their pension pot post retirement and gradually draw down their pension pot as cash in the future and may leave some of the pot invested.</li><li><strong>Full Cash Withdrawal Lifestyle strategy</strong> – this is typically selected by members who want to take their pension pot as cash in one lump sum.<br></li></ul><p>You choose which of these 3 strategies you prefer. <br></p><p>Based on your chosen strategy, the money you pay into your pension will then be invested on your behalf by the Trustee.&nbsp; <br></p><p>In order to protect your pension pot, these investments move automatically as you get closer to your ‘target retirement age.’ Exactly how that happens depends on the Lifestyle strategy you have chosen. You can read more below, or in our <a href="/defined-benefit-members/saving-more-BRASS-AVC-Extra/brass-fund-choices">fund factsheets</a>. <br></p><p>While much of the work within a Lifestyle strategy happens automatically, there is still a lot for you to think about, not least:</p><ul><li>how you might want to use your DC pension pot when you retire. This could be as a one-off lump sum, as flexible payments though drawdown, or as fixed payments in an annuity. If you’re a DB member this will only apply to your funds in BRASS or AVC Extra, and not to your defined benefit pension overall. </li><li>how much risk you are prepared to take</li><li>Any changes you do make to your TRA will affect your investments including the size of your pot and the risk profile of your investment.<br></li></ul><p>The 3 Lifestyle strategies offered by the RPS are designed to meet these preferences as much as possible. But remember, the Trustee invests your pension contributions in accordance with the strategy you’ve chosen so it’s vital you keep track of your pension pot to make sure your investment choices remain appropriate. <br></p><h3><strong>How a Lifestyle strategy works </strong><br></h3><p>Individual investments which are grouped together are called a fund. <br></p><p>Each of the 3 Lifestyle strategies offered by the RPS is made up of 3 separate funds:</p><ul><li>Long Term Growth Fund</li><li>Corporate Bond Fund </li><li>UK Government Fixed Interest Bond Fund<br></li></ul><p>Each of these funds has a different level of risk.&nbsp; <br></p><p>How your pension pot is split between the funds depends on the Lifestyle strategy you have chosen (by selection or by taking the default investment strategy) and when you are planning to take your benefits. This is known as your Target Retirement Age (TRA). &nbsp;<br></p><p>Your investment allocation is reviewed and aligned to your chosen Lifestyle strategy (depending on your age), around 4 times a year. You don’t have to do anything, because all of this happens automatically. If you are taking your benefits, we will not exclude you from this exercise unless you have returned all required documentation to initiate your benefit request. <br></p><p>Around 10 years before your TRA, your money will start to move from high-risk funds – with potentially higher growth and higher losses – to less risky ones. &nbsp;Of course the risk of any strategy also needs to be considered in the context of your retirement plans. This is shown in the illustration below. </p><img src="https://cdn3.railpen.com/mp-sitefinity-prod/images/default-source/old-site-images/infographics/investment-de-risking-graph.jpg?sfvrsn=d215e7cb_1" alt="Graph showing how investments in a Lifestyle strategy move from adventurous or higher risk funds to more cautious or lower risk funds as you approach your target retirement age (TRA)"><p><br></p><p>Exactly how much remains invested in the higher-risk funds, depends on which Lifestyle strategy you have chosen. </p><p>While the risk classification of each investment fund has been carefully considered, it is external economic factors that will ultimately determine the extent to which your investment goes up or down. <br></p><p>You can find more information about Lifestyle strategies in our <a href="" data-sf-ec-immutable="" data-sf-marked="">fund factsheets</a><br></p><h3><strong>You can manage your investments yourself, choosing from a range of funds </strong><br></h3><p>If you feel comfortable looking after your investments and want to be more hands-on, you can manage your investments by yourself. <br></p><p>You decide:</p><ul><li>which funds to invest in, based on a defined list. </li><li>how much of your pot you want to invest in each fund.<br></li></ul><p>There are 7 funds to choose from:</p><ul><li>Corporate Bond Fund&nbsp; <br></li><li>Deposit Fund </li><li>Global Equity Fund</li><li>Long-Term Growth Fund&nbsp; &nbsp;</li><li>Socially Responsible Equity Fund&nbsp;</li><li>UK Government Fixed-Interest Bond Fund</li><li>UK Government Index-Linked Bond Fund<br></li></ul><p>Each fund has a different objective and risk rating, so you can choose the one that’s right for you. For example, the lowest risk rated fund is the Deposit Fund but there are a range of medium and high risk funds too. Please check your lifestyle or self-selected investment options to ensure the risk rating meets your appetite. <br></p><p>Alongside these 7 funds, you can also invest in any of the 3 Lifestyle strategies mentioned above.<br></p><p>You can find out about the investment funds, including their risk ratings, in the <a href="/defined-benefit-members/saving-more-BRASS-AVC-Extra/brass-fund-choices">fund factsheets</a>.<br></p><p>If you choose this hands-on investment funds approach, your money will not automatically move from high to lower risk funds as you get closer to retirement. That means it’s up to you to decide if, and when that’s necessary, and to make the investment fund switch yourself. <br></p><p><strong>You can change your investment choices at any time </strong><br></p><p>To change the strategies or funds you’re invested in now, or where you want to invest in the future, <a href="https://member.railwayspensions.co.uk/login" data-sf-ec-immutable="">log into your myRPS account</a>. Then, go to the 'My pension' section and 'Funds' page.<br></p><p>If you're in a Lifestyle strategy you can also check, and change, your Target Retirement Age (TRA) in your myRPS account. <br></p><p>Any changes you do make to your TRA may affect your investments including the allocation of your pot between investment funds and the risk profile of your investment. <br></p><p>Make sure you have read all of the information available on the website and try out the Pension Planner (DB members) or Retirement Modeller (DC members) to help you understand the consequences before you act. <br></p><p><strong>You can get help deciding what’s right for you </strong><br></p><p>You can find more information about your investment options on the <a href="/iwdc-members/managing-investments/fund-choices">my investment choices page</a>.<br></p><p>If you need more support, you can also get financial advice. <br></p><p>Our advice partner Liverpool Victoria (LV) offers members financial advice at a discounted rate. You can contact LV on 0800 023 4187. You can also find Independent Financial Advisers in your local area at Unbiased.co.uk.&nbsp;<span style="background-color: rgba(0, 0, 0, 0); color: inherit; font-family: inherit; font-size: inherit; text-align: inherit; text-transform: inherit; white-space: inherit; word-spacing: normal; caret-color: auto"></span></p>

<p>Switching jobs means you’re probably going to leave a pension behind. Save yourself the hassle by keeping track of all your pensions as your career progresses.</p><p>Staying connected with your old pension plans could make your life much easier when you come to retire as you’d know exactly how much you’ve got to live on and where that money is.</p><p>Your financial diligence will pay off in the long run so here are few tips on how to make sure you won’t lose track of your retirement income and have it all at hand:</p><p>&nbsp;</p><p><strong>Keep checking your online account</strong></p><p>Your online pension account is your go-to place for up-to-date information on your pension. Not all pension schemes offer this but if you’ve paid into the Railways Pension Scheme (RPS), you’ll have one. Even if you move jobs and stop paying into a pension plan, you’ll still have access to your online pension account. The only difference would be that you’d be classed as a ‘preserved’ or ‘deferred’ member rather than an ‘active’ one who is actively contributing to that pension plan. As a preserved member, you may have a restricted view of some of the tools and information that were available to you as an active member. However, the essential information about your pension like its value and performance should be available to you. If you are a preserved member of the RPS and have BRASS and/or IWDC benefits, it is important to actively check and manage your investment choices. You can do this from <a href="https://member.railwayspensions.co.uk/login" data-sf-ec-immutable="">your online account</a>. </p><p>It’s good to get into the habit of checking your account every few months or so – a reminder on your phone could be an ideal solution for this. </p><p>&nbsp;</p><p><strong>Keep old pension providers in the loop of any changes to your contact details</strong></p><p>This is something many of us are guilty of not doing on time or not doing at all. Equally this quick and simple job could make a huge difference to both you and your old pension provider. Every time you move house, change your email address or get a new phone number, you should tell your old pension providers. That way you’d ensure they can get in touch with you should there is anything you need to know about your pension plan with them. If you’ve paid into the RPS, you can easily update your details when you log into <a href="https://member.railwayspensions.co.uk/login" data-sf-ec-immutable="">your online account</a> &nbsp;– it takes less than a minute. </p><p>Reviewing your details on a regular basis, for example every three to six months, to ensure they are correct, might be a good idea.</p><p>&nbsp;</p><p><strong>Retain old paperwork</strong></p><p>Keep hold of any letters or other correspondence you’re received from your old pension. They may come in handy when you come to retire and having them somewhere in the house means you’ll never lose track of your old pensions. It may be worth starting a folder to help you keep them all in one place. </p><p>&nbsp;</p><p><strong>Keep an eye on your old pension plan’s website </strong></p><p>A quick scan of your old pension plans’ websites every now and then might help you stay in the loop of any news and updates from your old pension providers. Plus, it means you won’t miss out on any new pieces of functionality or tools they’ve introduced that could help with your retirement planning when the time comes.</p><p>&nbsp;</p><p><strong>Connect with your old pension on social media</strong></p><p>Check if your old pension providers are on social media and connect with them. That way, you’ll get to see bite-size snippets of all the important updates about your pension with the option to find out more about the ones that are of interest to you by clicking on the relevant links. </p><p>&nbsp;</p><p><strong>Having a personal budget plan? Count in your old pension</strong></p><p>Planning! Dubbed by many as a true game changer when it comes to personal finances and saving, it’s an equally helpful habit to get into when it comes to keeping track of your pension plans. No matter what program you use for your budget planning, you could always add an extra tab, column or sheet and save all the important information about your old pension plans there. Or if you’re a traditionalist and prefer the good old pen and paper, our suggestion of retaining your old paperwork might work best for you.&nbsp; </p><p>&nbsp;</p><p><strong>Transferring your pension</strong></p><p>It sounds tempting to have all your old workplace pensions under one roof but it is highly advisable you seek independent financial advice if you are thinking of going down that route. This is particularly valid if you’re thinking of transferring defined benefit pension savings to a defined contribution arrangement. This is because the value of a defined contribution pension is not a set amount and may go up as well as down.</p><p>It is a legal requirement to take advice if you are thinking of transferring defined benefit pension worth over £30,000. </p><p>For members of the RPS, we have prepared some <a href="/pension-essentials/transferring-my-pension">useful information on transferring</a> and a <a href="/knowledge-hub/help-and-support/video-library">handy video guide</a> that explain it all in simple terms.<br></p>

<div><p>&nbsp;</p><p>With nearly 40 years in the railway industry and over 20 years’ involvement in the railway pension schemes, Christine’s years in the industry have given her an invaluable understanding of your priorities and pension needs, to help you get the best retirement outcome.&nbsp;</p></div><div><br></div><div><p>We asked Christine to tell us what she enjoys most about her role and to share more with us about her experience in the industry.&nbsp;</p></div><div><br></div><div><strong>Christine, you bring a wealth of experience to your new role. Can you briefly explain what your background is and how you got to work in financial services and in pensions?</strong></div><div><br></div><div>During my railway career I have been lucky enough to have developed a wide range of skills, met and worked with staff in many different disciplines and at all levels of the rail industry.&nbsp;</div><div><br></div><div>I started as a ticket office and admin clerk, was a staff representative, a BR management trainee, worked in HR in engineering, undertook various project management roles and after privatisation joined the South West Trains franchise. Here, my roles included HR and payroll systems, pensions management, internal audit and 20 years as an employer representative on the Pensions Committee. I supported with passenger assistance in service disruption and special events. I also had roles in industry groups for pensions and rail staff travel.</div><div><br></div><div><p>This has given me a good understanding of the workings of the rail industry and the part pensions play in it.</p></div><div><p>&nbsp;</p></div><div><p><strong>What are your top three priorities as a Chair of the Trustee?</strong></p></div><p>1. Complete valuations for all sections to ensure we can pay pensions when due.</p><p>2. Continue to improve member support, online education and tools.</p><p>3. Ensure the Scheme carefully monitors risks, particularly within the current global financial markets, and we can act on any opportunities that present themselves.</p><p><strong style="background-color: initial; font-size: inherit; text-align: inherit; text-transform: inherit; white-space: inherit; word-spacing: normal; caret-color: auto">&nbsp;</strong></p><p><strong style="background-color: initial; font-size: inherit; text-align: inherit; text-transform: inherit; white-space: inherit; word-spacing: normal; caret-color: auto">What do you enjoy most, or what are you most proud of in your job?</strong></p><div><p>I believe the schemes can and do make a difference in the lives of thousands of people in the rail industry and their families – it is great to be part of something that seeks to do that for generations to come.</p><p>&nbsp;</p></div><div><strong>Can you describe what a typical working day looks like for you?</strong></div><div><br></div><div>No one day is the same which makes the role both challenging and rewarding.&nbsp;</div><div><br></div><div>With so much happening in the world that can impact financial markets together with continual change to pension regulations, there is always something new for Trustees to understand and consider.</div><div><p><strong style="background-color: rgba(0, 0, 0, 0); color: inherit; font-size: inherit; text-align: inherit; text-transform: inherit; white-space: inherit; word-spacing: normal; caret-color: auto">&nbsp;</strong></p><p><strong style="background-color: rgba(0, 0, 0, 0); color: inherit; font-size: inherit; text-align: inherit; text-transform: inherit; white-space: inherit; word-spacing: normal; caret-color: auto">What would you say to someone who is thinking about becoming a Pension Trustee in future?</strong><br></p></div><div>A lack of pension knowledge is not a barrier to becoming a Trustee. You will get support and training to understand the world of pensions and investments.</div><div><br></div><div>The key to good Trustee decision is in the diversity of skills, experience, knowledge and the perspective each Trustee brings - as well as their passion. Trusteeship is not for everyone and does take a lot of commitment in terms of personal development, preparation and meetings. However, you will be making a meaningful difference to the future benefits of your colleagues in the rail industry.</div><div><br></div><div>You can learn more about the role and responsibilities of The Trustee on our website in ‘The Trustee’ section of ‘Joining the RPS’.&nbsp;</div><div><p>&nbsp;</p><p>&nbsp;</p><p>&nbsp;</p></div>

<h3><span style="background-color: rgba(0, 0, 0, 0); color: inherit; font-family: &quot;Open Sans Condensed&quot;, sans-serif; font-size: var(--font-size-h3); font-weight: bold; text-align: inherit; text-transform: inherit; white-space: inherit; word-spacing: normal; caret-color: auto">What happens to your pension when you die?</span><br></h3><p>The death benefits that may be payable from your pension are considered separately to your will, and they depend on:</p><ul><li>which type of Scheme and Section you belong to</li><li>the options you select, and </li><li>whether you’re retired or still working when you die </li></ul><p><span style="background-color: rgba(0, 0, 0, 0); color: inherit; font-family: inherit; font-size: inherit; text-align: inherit; text-transform: inherit; white-space: inherit; word-spacing: normal; caret-color: auto">You’ll find a brief guide below, but please refer to your Member Guide for more specific details of your own death benefits. Your Member Guide can be found under ‘My library’ when you log into your <a href="/my-rps">myRPS account</a>.</span><br></p><h4><strong></strong><strong>1. Death benefits for retired, defined benefit (DB) members</strong></h4><p><strong>&nbsp;</strong>If you’re retired, and you’re a DB member of the Railways Pension Scheme (RPS), your <strong>death benefits</strong> could include: </p><ul><li>Spouse’s pension – payable to a spouse, civil partner or same-sex spouse you were living with or married to at the date of your death. For many members this would be worth around half your basic pension. </li><li>Dependants’ pension – paid to a person who depended on you financially for 2 years prior to your death. The value may vary depending on circumstances and will reduce if the eligible dependent is younger than you by 10 years or more. </li><li>Children’s pension – at least the 2 youngest eligible children normally receive pensions until they are 18. The youngest child will typically receive 50% of the eligible spouse’s pension and the second child will receive 25%. If an eligible child continues in full-time education after they reach 18, the pension may still be paid, subject to Trustee or Committee agreement. If a child is disabled, the pension may be payable for life, if the Trustee agrees.<br></li></ul><p>There may also be <strong>a lump sum pay-out</strong> to your beneficiaries. The exact amount payable would depend on the amount of benefit you have taken since your retirement. If you have been receiving your pension for 5 years or more it’s unlikely any lump sum will be paid. <br></p><p>To help speed up the process, it’s important that you complete a Nomination form to let the Trustee know who you'd like the lump sum to be paid to. This can be done quickly and easily by <a href="/login">logging into your myRPS account</a> and going to ‘My Nominations’ in the ‘My Pension’ section of your member home page. Otherwise, it could go to the wrong person, or the payment may be delayed, which could result in tax being payable.<br></p><h4 data-list="2" data-level="1"><strong>2.&nbsp;</strong><strong>Death benefits for retired, industry wide, defined contribution (IWDC) members </strong><br></h4><p>If you’re a retired IWDC member, then your death benefits will depend almost entirely on how you have taken your pension. For example:<br></p><ul><li>If you have a single annuity, then all payments will stop when you die. That is unless you took a guarantee period, such as 5 years, in which case payments can continue until the end of that time or will be paid as a lump sum.&nbsp; </li><li>If you have drawdown, the remaining money could be paid out tax free if you die before the age of 75. If you’re over 75, then it is likely to be added to the beneficiaries’ other income and taxed. </li></ul><p>For more information, you would need to speak to your chosen annuity or drawdown provider, as these benefits are not payable directly by the IWDC scheme. <br></p><h4 data-list="2" data-level="1"><strong>3.&nbsp;</strong><strong>Death benefits for active, or preserved, DB members</strong><br></h4><p>If you’re an active, or preserved, defined benefit member and die whilst you’re still working, your pension could pay out a lump sum. If you’re younger than 75 when you die, this payment would normally be tax-free for your beneficiaries. Death benefits may also include a pension to either a spouse, civil partner or dependent child (as in point 1 above) but this would be taxed at their marginal rate of income tax. <br></p><h4 data-list="2" data-level="1"><strong>4.&nbsp;</strong><strong>Death benefits for active, or preserved, IWDC members</strong><br></h4><p>If you’re an active, or preserved, IWDC member, and die before your 75th birthday whilst you’re still working, and haven’t started drawing your pension, it can be passed to your beneficiaries tax-free.<br></p><h3>How can your friends/family claim? &nbsp;<br></h3><p>Before any claims can be made, the Scheme administrator, Railpen, will need to be notified of your death. <br></p><p>If you were still paying contributions into the RPS when you die, your employer will notify Railpen automatically. <br></p><p>If you had already stopped paying into your pension when you die, your death needs to be reported to Railpen directly. <br></p><p>This can be done by: <br></p><ul><li>Calling <strong>0800 012 1117</strong> and selecting Option 2: Bereavement. Or calling <strong>+44 1325 342 800</strong> internationally</li><li>Emailing <a href="mailto:csu@railpen.com"><strong>csu@railpen.com</strong></a><strong> </strong>or </li><li>Writing to Railpen at <strong>PO Box 300, Darlington, DL3 6YJ</strong><br></li></ul><p>For security reasons, Railpen will need to confirm at least three of the following: <br></p><ul><li>Your full name</li><li>Your date of birth</li><li>Your Pension reference number and/or National Insurance number</li><li>Your date of death</li><li>The name and address of whoever we should contact about your pension moving forward. <br></li></ul><p>Please ensure your friends/family are aware of these requirements. And know what they need to do in the event of your death.&nbsp; They can find more information <a href="/knowledge-hub/help-and-support/reporting-a-death">on the reporting a death page </a> <br></p><p>Once we know that you have died, we will write directly to whoever is dealing with your affairs. For example, this may be your next of kin or the executor of your estate. They will be asked to complete and return some forms. These forms will help us to identify anyone who might benefit from your pension.<br></p><p>Then, we will contact any potential beneficiaries to explain what they may be entitled to and what they need to do next. <br></p><p>Once we have received the information needed and proof of ID from all the potential beneficiaries, your death benefits will be considered by the Trustee. In line with scheme rules, the Trustee will decide where any death benefits should be paid.&nbsp; <br></p><p>All of this takes time, so it may take quite a while for any benefits to be paid following your death. <br></p><p>Our priority is making sure your money goes to the right people. We’ll do everything we can to make that process as quick and easy as possible for everyone involved. And our team will be on hand to help every step of the way.&nbsp;</p>

<p>Potential long term effects such as global warming have been attributed to climate change and we recognise some members may be concerned by these stories. But what do they mean in the context of pension schemes? How does tackling the climate crisis reflect Railpen’s core purpose of securing members’ futures? And why does climate change continue to sit highly on Railpen’s agenda? </p><p>We sought answers from Chandra Gopinathan, Senior Investment Manager at Railpen, who is also leading on the climate change work the company does. Here, Chandra helps us better understand the risks and opportunities of climate change for Railpen as an investor and caretaker of members’ pensions. </p><p><strong>&nbsp;</strong></p><p><strong>Chandra, ‘climate change’ has been researched and discussed for more than a century but seems to engulf the news now more than ever. Could you briefly explain what climate change is and how it is linked to pensions? </strong></p><p>Research indicates that climate change is a pressing area of discussion, now more than ever. Climate change is described as long-term shifts in temperatures and weather patterns. These shifts may be natural, but human activities can also be a driver of climate change and global warming.<br></p><p>Following the announcement of the UN Sustainable Development Goals in 2015, companies and investors have been incorporating climate considerations into their working practices. This includes the way in which companies operate and the way pension schemes invest their members’ money. <br></p><p>When it comes to pensions, climate change can have a direct impact on the returns on investments we make on behalf of our members. <br></p><p><strong>&nbsp;</strong></p><p><strong>Tell us about the work that Railpen does in the climate change area. </strong></p><p>Railpen invests the contributions that members and their employers pay into their pension. We do this to achieve the investment returns needed to give you an income in retirement. We carefully choose the companies and assets we invest in while making sure that they seek to address environmental, social and governance (ESG) issues in the way they operate. One of the key criteria we look for when we decide where to invest is a company’s consideration of - and efforts in - managing the implications of climate change on its business. This is because we recognise the impact it could have on the company’s business, the scheme’s investment and on humanity as a whole if left unaddressed. </p><p>We strive to invest in companies that can adapt their business models to deal with major threats or issues, such as the ones posed by climate change. We believe these companies will be most likely to do well in the long-term. <br></p><p><strong>&nbsp;</strong></p><p><strong>Is the work on managing climate risks on an investment portfolio sufficient? Surely there are many other external participants and factors that need to align to ensure that the world moves smoothly to a low carbon economy. </strong></p><p>It’s an ecosystem effort. Managing and reducing carbon emissions in a portfolio is good but does not always contribute to a greener economy. In order to achieve real world emissions impact, it is important to identify and address key climate risks in the companies we invest or plan to invest in. <br></p><p>However, it is more important to understand and support all participants of the ecosystem, including companies, policy makers, governments and consumers, on the activities they need to undertake to help us move to a low carbon economy. We use every tool at our disposal to encourage companies to act responsibly and address the impact of the climate crisis.<br></p><p>Railpen works closely with many industry leaders, most notably the Institutional Investor Group for Climate Change (IIGCC) , the UK Transition Plan Taskforce (TPT), Transition Pathway Initiative (TPI), International Sustainability Standards Board (ISSB) and with regulators and policy makers. Through this work we aim to encourage companies to clearly disclose climate risks and opportunities to their business and how they plan to address those. </p><p>We engage with companies on implementation of this disclosure and use our right to vote against companies that are not prepared. On the contrary, we invest in companies, assets, technologies and solutions that will be essential for the low carbon economy. The approach we take is outlined in Railpen’s annual <a href="https://cdn-suk-railpencom-live-001.azureedge.net/media/media/bq1cjgd1/tcfd-report-rps-2021.pdf" data-sf-ec-immutable="">Taskforce on Climate-Related Financial Disclosures</a>. <br></p><p><strong>&nbsp;</strong></p><p><strong>And Chandra, how do you ensure that member preferences and considerations on climate change are reflected in the work that you do on this issue?</strong></p><p>We know many members are interested in the work that we do, not just on the climate change front, but in all areas that support a sustainable future for them, and for all. This is why we strive to maintain a constant dialogue with our members. We conduct regular member surveys and hold member workshops to ensure we are getting feedback and opinion first hand. We do this because we care about our members’ views and opinions on the work that we do and on the sector as a whole. <br></p><p>Climate change very much remains one of the key sustainability themes that is of a great interest to members and we will continue to seek members’ input in our work going forward. In September 2022, we published our <a href="https://www.railpen.com/media/3gelmunf/so-member-report-2021.pdf" data-sf-ec-immutable="">Sustainable Ownership Member Review</a> which was designed specifically for members and provides the perfect starting point for anyone wanting to find out more about our work.</p><p>&nbsp;</p><p><strong>How does Railpen ensure that companies do not overstate their credentials when it comes to the climate transition (also known as ‘greenwashing’)?</strong><br></p><p>Firstly, let's bring clarity around what greenwashing means in the context of climate issues. Greenwashing refers to situations in which companies either misrepresent or exaggerate the activities they undertake to tackle climate transition. The term is also used when those companies use diversion tactics to distract stakeholders from key climate issues and their approach or lack of approach to addressing them.<br></p><p>We detect greenwashing through promoting clear and simple disclosure from the companies on our portfolio. We then evaluate companies for their governance, disclosure, emissions performance, transition planning, engagement, lobbying and social impact. With the strength of our screening and analysis, we aim to identify and highlight cases of greenwashing, by drawing on industry best practices guidelines, verification from independent sources of information, cross-referencing companies with sector peers and ongoing management meetings. </p><p>&nbsp;</p><p><strong>Are you optimistic about how things are progressing with regards to tackling the climate crisis and the efforts made globally?</strong></p><p>Decarbonising the real world remains a challenge faced by all. Even in 2022, there are more questions and challenges than solutions currently with politics still remaining a key driver. The silver lining, however, is that discussions around opportunities and potential solutions, are now much more frequent, honest and credible than they have ever been in the past, and the climate crisis seems to be getting more attention than ever. </p><p>Things are moving beyond headline ambitions, targets and communications, and there is a growing pool of resources and information for any business, investor or consumer interested in learning and doing their bit for tackling the climate change issue.</p><p>Legislation like the US Inflation Reduction Act and EU taxonomy are key milestones in supporting and encouraging the development of new climate technologies and climate-related disclosure.</p><p>To sum up, broadly speaking the picture is cautiously optimistic. There are the inevitable and constant new challenges to overcome which is part of the progress and effort in moving the climate agenda forward.</p><p><strong>&nbsp;</strong></p><p><strong>What has been the highlight of the work you’ve done in this area? What are you most proud of?</strong></p><p>There were a number of initiatives on the climate and sustainability side at Railpen during 2022, which we have been recognised for internally and externally, both on a national and international level. </p><p>We are proud to have been recognised and awarded for our work, and hopefully our members will be as well. Two notable ones include:<br></p><ul><li>The development of our own in-house analytical tool for climate and Net Zero assessment of companies (CRIANZA) which we have been applying to our portfolios.</li><li>Our contribution and leadership in the climate engagement space with our work with portfolio companies, regulators and initiatives like IIGCC (The Institutional Investors Group on Climate Change). Railpen, as part of an investor group, engaged with a number of companies, one being a leading US utility and steered it to a Net Zero commitment and increasing investments in renewable energy. We are also leading an initiative for bondholders to be able to increase their influence with companies in steering them to manage and adapt to climate change.<strong></strong></li></ul><p><strong></strong><strong>Looking ahead, what does 2023 hold for you? What will you be focusing on in your work when it comes to climate change?</strong></p><p>2023 will see us moving ahead on several fronts in climate-related work. The key focus will be on investments in the energy transition, climate transition planning and related engagement, biodiversity and natural capital solutions. We will also do a piece of work on improving and expanding our framework to analyse climate transition risk for companies. We look forward to communicating further details with our members as these projects progress forward.</p><p>&nbsp;</p>

<h3><strong>Explore your RPS pension</strong><strong></strong></h3><p>Get familiar with your pension and benefits by&nbsp;<a href="https://member.railwayspensions.co.uk/login?ReturnUrl=https%3a%2f%2fmember.railwayspensions.co.uk%2fmy-rps" data-sf-ec-immutable="">registering for</a>&nbsp;and logging into your&nbsp;<a href="https://member.railwayspensions.co.uk/login?ReturnUrl=https%3a%2f%2fmember.railwayspensions.co.uk%2fmy-rps" data-sf-ec-immutable="">myRPS account</a>, where you can plan and manage your future easily. Pension jargon can feel confusing, which is why we’ve created ‘Read as you Need’&nbsp; <a href="/knowledge-hub/help-and-support/RAYN">guides</a>&nbsp;to make complex topics easy to understand. Our&nbsp;<a href="/knowledge-hub/news-and-views/blog">blog</a>&nbsp;offers insights to help you understand and manage your pension, tells you about changes in the industry and shows how the Trustee are working to look after your pension. You can also request an estimate of your benefits at any time by logging in and visiting the ‘My Pension’ section.<strong></strong><br></p><h3><strong>Set saving goals</strong></h3><p>Whether you want to enjoy a steadier pace of life or continue the lifestyle you have now, deciding what you’re saving for early on makes your goal for the future clearer and will help you plan more effectively to achieve it. &nbsp;<br></p><h3><strong>Understand what you might need in retirement - use our retirement budgeting calculator</strong></h3><p>Our&nbsp; <a href="/knowledge-hub/help-and-support/retirement-budgeting-calculator">quick-and-easy tool</a>&nbsp;will help give you a rough estimate of how much you’ll need for your desired future. This considers factors like where you plan on living and how many holidays you’d like per year.<br></p><h3><strong>Understand how you are doing against that target – use the planning tools</strong></h3><p>If you’re a defined benefit (DB) member, you can find out the income you’re likely to get from your RPS pension in retirement by using the Pension Planner. You’ll find this in the ‘Planning for the future’ section when you log in.</p><p>If you’re a defined contribution (DC) member, you can find out what your personal retirement account (PRA) might be worth when you plan to stop work by using our DC Modeller. You’ll find this in the ‘Planning for the future’ section when you log in.&nbsp;<br></p><h3><strong>Think about saving more if you need to - you can make Additional Voluntary Contributions (AVCs)</strong></h3><p>AVCs, put simply, are extra money you can put aside now to&nbsp; <a href="/pension-essentials/saving-more">boost your pension benefits</a>. To work out what impact AVCs may have, use the planner and modeller tools mentioned in the section above. Here, it’s helpful to consider the basics - home and bills, your wish-list – holidays and sports clubs, and the rest – family needs and potential unforeseen pay outs to see if you can afford to put a bit more aside towards your life after work.<strong></strong><br></p><h3><strong>Investment choices</strong></h3><p>For Industry Wide Defined Contribution (IWDC) members or those paying AVCs, the Trustee has selected a range of funds to invest your money into. If you want to select which funds to invest in, simply log in to your account to choose. If you don’t choose an option, you’ll automatically be entered into the ‘default’ fund, which is the&nbsp;<a href="https://member.railwayspensions.co.uk/iwdc-members/managing-investments/fund-choices#:~:text=Flexible%20Drawdown%20Lifestyle,-How%20it%20works&amp;text=This%20means%20the%20money%20that,as%20cash%20in%20the%20future." data-sf-ec-immutable="" data-sf-marked="">Flexible Drawdown Lifestyle Fund</a>&nbsp;if you’re a member of the IWDC Section or AVC Extra, or the Full Cash Withdrawal Lifestyle for BRASS members.<br></p><h3><strong>Transfer old pensions into your new one</strong></h3><p>For previous workers in the rail industry, you may be able to transfer your previous pensions into your new one. This is called an intersection transfer. To find out if you qualify for a transfer, have a look at your 'Member Guide’ which can be found in ‘My Library’ after you’ve registered for and logged into your account.<br></p><h3><strong>What to do if you get stuck…</strong></h3><p>Our virtual assistant is always on hand to offer you the help you need. Simply ask it a question and it will help you find the answer. Select the small blue/white face icon on the bottom right of your screen to open the virtual assistant.</p>

<p>From understanding pension tax to finding out what would happen to your pension if you die in service, the stories are full of pension’s knowledge and have something useful for everyone.</p><p>Read more than 7,000 times combined, our top articles for this year provide a handy recap of some of the most important pension topics and could help you kick off the New Year with a better grasp of your pension and more confidence in your financial know how.</p><p>&nbsp;</p><p>1. Future increase to the Normal Minimum Pension Age</p><p>Our most popular article for this year – read nearly 2,000 times – provides an overview of the proposed increase to the Normal Minimum Pension Age (NMPA). NMPA is the earliest age at which most pension savers can access their pensions without having to pay a tax charge - unless they are retiring due to ill health.</p><p>The Finance Act 2022, which received Royal Assent earlier this year, will increase the NMPA from age 55 to 57 from 6 April 2028.</p><p>Read the&nbsp; <a href="/knowledge-hub/news-and-views/news-updates/2022/02/07/future-increase-to-the-normal-minimum-pension-age">article</a>&nbsp;to find out more about the increase.</p><p>&nbsp;</p><p>2. What happens to your pension when you die?</p><p>Closely behind is our&nbsp; <a href="/knowledge-hub/news-and-views/news-updates/2022/01/11/death-and-your-pension">Death and you pension</a>&nbsp;article. It provides useful information about the death benefits that may be paid out to people or causes that are close to your heart when you’ve gone. There are a few factors that may have a direct impact on the type of benefits that can be claimed following your death and the people who can claim them:<br></p><ul><li>which type of Scheme and Section you belong to</li><li>the options you select</li><li>whether you’re retired or still working when you die<br></li></ul><p>Your Member Guide will have more specific details of your own death benefits. If you’re logged in to your&nbsp;<a href="https://member.railwayspensions.co.uk/login" data-sf-ec-immutable="">myRPS account</a>, you will find your Member Guide in your home page under ‘My library’.<br></p><p>&nbsp;</p><p>3. Thinking of retiring? Did you know the early retirement factors were reviewed earlier this year?</p><p>The Scheme’s required to review some of the terms of its benefit calculations every so often. You should keep this mind if you’re planning to retire before or after your normal retirement age (NRA).</p><p>Depending on when the changes are implemented, they may have a different impact on members. Read more about the latest update from July this year in the&nbsp; <a href="/knowledge-hub/news-and-views/news-updates/2022/05/23/early-retirement-factors-reviewed">Thinking of retiring?</a>&nbsp;article.</p><p>Keep an eye on the website for any future updates.</p><p>&nbsp;</p><p>4. A simple guide on the basics of pension tax for this tax year</p><p>The topic of pension tax has always been of great importance to our members and there’s little surprise our article on it proved interesting. Pension savers often think of pension tax as a complex and confusing topic so anything to help shine a light on it is always well received by members.</p><p>The article offers an easy-to-understand explanation of how tax relief works and an overview of the tax allowances - limits on the amount of pension savings that will benefit from tax relief each tax year and over your lifetime, so&nbsp; <a href="/knowledge-hub/news-and-views/news-updates/2022/04/20/tax-and-your-pension">check it out</a>.</p><p><span style="background-color: rgba(0, 0, 0, 0); color: inherit; font-family: inherit; font-size: inherit; text-align: inherit; text-transform: inherit; white-space: inherit; word-spacing: normal; caret-color: auto">5. All you need to know about your Annual Benefit Statement</span><br></p><p>Your Annual Benefit Statement (ABS) is probably one of your most important and helpful documents as a member of the Scheme. We’ve published&nbsp; <a href="/knowledge-hub/news-and-views/news-updates/2022/02/16/all-you-need-to-know-about-your-annual-benefit-statement">an article</a>&nbsp;earlier in the year that explains the ins and outs of it but essentially it is your one stop shop for information on your pension for the year. Along with more detailed calculations, it tells you about the savings you have now and what they could be worth in the future.</p><p>You'll receive your ABS in the post every year.</p>

<p>Every year that passes brings you closer to leaving work! So make sure you start 2023 with your pension plan in good shape for your future. Use those days before the New Year to check it all out. &nbsp;</p><p>Each of the following small tasks should just take a few minutes. You could make this an annual custom. We guarantee you’ll be so pleased you did this regularly when you finally reach retirement!&nbsp;&nbsp;</p><p><strong>1&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;Register for your myRPS online account</strong></p><p>Set up your own online pension account before the New Year and you can truly make 2023 the year you take charge of your pension planning and manage your future.</p><p>It couldn’t be easier. If you’re not registered already, just go to the top right hand corner of the home page on this website and click on register. &nbsp;Follow the simple, on-screen instructions and once you’re signed in, you’ll be able to manage your pension savings and plan your future at a convenient time for you, using the range of online tools available. You can see how to use many of these below.</p><p><strong>2&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;Check how much you're likely to get on retirement</strong></p><p>No matter how near, or far away your retirement is, make sure you know what your income is likely to be when you finish work. It will be so much easier to plan your future from now on if you do. Use our easy online Pension Planner (for DB members) or Retirement Modeller (for DC members) to find out.</p><p>If you’re signed in to your myRPS account, you’ll find these online tools under the 'Planning for the future’ section of your member home page on the right hand side.</p><p><strong>3&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;Request pension estimates&nbsp;</strong></p><p>A very easy way to check your pension savings is to request free, online estimates to see how much you’re likely to get on retirement. You can request as many as you like, at any time. &nbsp;</p><p>If you’re signed in to your myRPS account, you’ll see an option to ‘Request an estimate of Retirement Benefits’ under the ‘My Pension’ section of your home page. Click here and follow the on-screen instructions.</p><p><strong>4&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;Work out your retirement lifestyle costs</strong></p><p>This year, think ahead to what kind of life you would like in retirement. Knowing what this might cost, will help you to know if your pension saving is on track for the future.</p><p>If you’ve requested an online estimate, you should already have an idea of what your annual pension is likely to be. By using our Retirement Budgeting Calculator, you’ll see if your expected pension income matches your lifestyle costs. If not, you may want to make some adjustments.&nbsp; &nbsp;Find the&nbsp; <a href="https://member.railwayspensions.co.uk/knowledge-hub/help-and-support/retirement-budgeting-calculator" data-sf-ec-immutable="" data-sf-marked="">Retirement Budgeting Calculator</a>&nbsp;in the ‘Resources’ section of&nbsp;<strong>railwayspensions.co.uk</strong>.</p><p><strong>5&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;Check your State Pension</strong></p><p>New Year is a good time to find out whether you’ll be eligible for the State Pension and what you’re entitled to. You can check this at&nbsp;<a href="https://www.gov.uk/check-state-pension" target="_blank" data-sf-ec-immutable=""></a><a href="https://www.gov.uk/check-state-pension" target="_blank" data-sf-ec-immutable="">gov.uk/check-state-pension</a>.</p><p><strong>6&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;Boost your pension benefits</strong></p><p>If you’ve discovered your likely pension income isn’t going to be quite enough to fund the lifestyle you’d like in retirement, then you might want to consider making Additional Voluntary Contributions (AVCs), known as BRASS in the RPS. These are extra savings that you make which can boost your pension.</p><ul type="disc"><li>You don’t need to save a set amount every month.</li><li>It’s a great way to save if you get overtime or bonus that doesn’t usually qualify for your pension</li><li>You get tax relief.</li><li>AVCs are invested in a range of funds aimed at building up extra pension savings over time.</li></ul><p>See our Guides to AVCs, BRASS and AVC extra in the Read as You Need Guides </p><p><strong>7&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;Trace your old pensions</strong></p><p>Over the years, if you’ve worked for several employers during your working life, you may have lost track of the different pensions you’ve paid into. The Pension Tracing Service is free and can help you find a pension you’ve lost. Go online to&nbsp;<a href="https://www.gov.uk/find-pension-contact-details" target="_blank" data-sf-ec-immutable=""></a><a href="https://www.gov.uk/find-pension-contact-details" target="_blank" data-sf-ec-immutable="">gov.uk/find-pension-contact-details</a>&nbsp;and follow the steps.</p><p><strong>&nbsp;8&nbsp; &nbsp; &nbsp; &nbsp; Make or update your death benefit nominations</strong></p><p>Making a nomination online should just take a couple of minutes but it could make a big difference to your loved ones if you die before taking your pension.</p><p>To ensure your pension savings end up in the right hands, and avoid being subject to tax, you need to let us know, where or who you wish the money to go to, by completing a ‘nomination’. It’s also important to keep your nominations up to date if your circumstances change. &nbsp;</p><p>If you’re signed into your online pension account you’ll find the nominations page in the ‘My Pension’ section.</p><p><strong>&nbsp;9&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Check your investments</strong></p><p>If you pay into a defined contribution (DC) pension, or if you have AVC or BRASS, these contributions are invested in a range of specially selected funds.</p><p>You can manage your own funds or have them managed for you. If you’re signed into myRPS, you can change your approach, manage your own investments or switch funds online at any time.</p><p>With BRASS, you can see more about your investment choices on this website if you go to <a href="https://member.railwayspensions.co.uk/defined-benefit-members/saving-more-BRASS-AVC-Extra/brass-fund-choices" data-sf-ec-immutable="" data-sf-marked="">My fund choices</a>’.</p><p><strong>10&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Support and guidance</strong></p> <p>If you need to find out more about your pension, you’ll find tons of guidance throughout this website, especially in the <a href="https://member.railwayspensions.co.uk/knowledge-hub/help-and-support/faqs" data-sf-ec-immutable="" data-sf-marked="">Frequently Asked Questions</a>&nbsp;section or&nbsp;<a href="https://member.railwayspensions.co.uk/knowledge-hub/help-and-support/RAYN" data-sf-ec-immutable="" data-sf-marked="">Read as you Need guides</a>. You can also visit&nbsp;<a href="https://www.moneyhelper.org.uk/en" target="_blank" data-sf-ec-immutable=""></a><a href="https://www.moneyhelper.org.uk/en" target="_blank" data-sf-ec-immutable="" data-sf-marked="">MoneyHelper.org</a>&nbsp; which provides free and impartial money and pension guidance for people all across the UK.</p>

<div><p>The Trustee of the Railways Pension Scheme has raised concerns with the Department for Work and Pensions (DWP)’s draft occupational pension schemes regulations 2023, and has issued a comprehensive response. This is to the DWP’s recent consultation on a new set of funding and investment regulations for defined benefit (DB) pension schemes.&nbsp;<br></p></div><br><div>The Trustee welcomes and shares the DWP’s supportive comments about the need to make these regulations work for open DB schemes. However, there are a number of areas where it believes the current draft of these regulations will not achieve this objective. The Trustee’s response highlights several key concerns, including higher costs, systemic risks to the economy, and difficulties supporting the Government’s growth agenda – views shared by many other industry participants.<br></div><div><br>Almost 10 million people across the country remain reliant on DB schemes, with around 65% of these savers in schemes that have some form of benefit accrual, and around 23% in schemes that remain open to new members (according to the latest data from the Pension Protection Fund).<br></div><div><br>In contrast, the majority of the UK is now reliant on DC pensions, with research from the Pensions Policy Institute suggesting that over 90% of these DC savers are facing an inadequate retirement. This is a major societal problem for the next generation of retirees and beyond, and makes it ever more important that people with access to well-run DB pensions are not forced to follow this path.&nbsp;<br></div><div><br>The Trustee recognises that the Railways Pension Scheme and the other schemes it supports have characteristics that are not typical in the universe of UK DB schemes. However, these schemes are important, not simply to members, but also to employers and the wider UK railway industry. The Trustee believes that it is essential that pension regulations allow members to continue to build up affordable and sustainable DB pensions, and that it remains able to pay these benefits over the long-term.<br></div><div><br><a target="_blank" href="https://cdn3.railpen.com/mp-sitefinity-prod/docs/default-source/default-document-library/rptcl---response-to-consultation-on-draft-funding-and-investment-regulations-2023.pdf?sfvrsn=f0794a04_7">Read the Trustee’s full response to the consultation.</a> <br><br></div><div><br></div>

<p>We know that Sustainable Ownership* is a topic that is of interest to many of our members. This is not only because it often happens to be at the forefront of pension talk with issues like climate, fair pay and how workers have been treated by their employers during the pandemic and others, but also because of the direct impact it may have on your pension money. And with it hitting the headlines lately, our <a href="https://www.railpen.com/media/3gelmunf/so-member-report-2021.pdf" data-sf-ec-immutable="" data-sf-marked="" target="_blank">2021 Sustainable Ownership Member Review – “<em>Staying on Track for a Sustainable Future”</em></a> – seems to be coming at the perfect time to provide members with an insight into what we have been doing on Sustainable Ownership over the past year. We hope it also brings you reassurance that your pension money is in good hands and is being managed thoughtfully despite the challenging times we are all facing.</p><p>The document has been written for you based on feedback you gave us in last year’s member survey and roundtables. We heard you, and we hope the 2021 Sustainable Ownership Member Review gives you a better understanding of how and where we are investing your pension money to give you an income in retirement. We also hope it shines a light on how we address the impact of governance and sustainability issues on the world into which you will someday retire.&nbsp; </p><p>We asked Caroline Escott, Senior Investment Manager at Railpen - the investment manager of the railways pension schemes - to share some of the cornerstones of the report and to talk us through some of the main points raised in it.</p><p>&nbsp;</p><p><strong>Caroline, you’ve been heavily involved with the production of the 2021 Sustainable Ownership Member Review. Why should our members give it a read?</strong></p><p>We know many members are interested in how we invest and manage contributions in a way that supports a sustainable future for them, and for all. Although we publish many formal, lengthy documents on our Sustainable Ownership work every year, the Member Review is short, snappy and designed specifically for members – it provides the perfect starting point for anyone wanting to find out more! </p><p><strong>&nbsp;</strong></p><p><strong>You’ve spoken to several of our members before writing the report. What are they mostly interested in when it comes to Sustainable Ownership and their pension?</strong></p><p>As we produce the report purely for members, we were keen to really understand what would be of most use, so we worked with our Member Communications team to survey members and hold some focus groups.</p><p>Members told us in the survey that their top three priorities were fair treatment of workers, climate change and fair pay. When we asked the same question in member roundtables, participants said that good corporate governance – that the companies we invest in are well-managed, with expert leaders who are supported by strong teams and listen to investors – was important.</p><p>As a result, we’ve provided case studies in this year’s Sustainable Ownership Member Review which explain what we’ve done on these topics over the last 12 months and how we’ve had an impact on members’ behalf.</p><p><strong>&nbsp;</strong></p><p><strong>You were also keen to find out what members thought of the way we are currently communicating with them. Was there anything that particularly struck you about the results? How would members like to be told of important updates on Sustainable Ownership? </strong></p><p>Something we had suspected, and which the survey results confirmed, was the high proportion of members (76%) who had never seen any of our Sustainable Ownership reports. We’d like to change that and make sure that those people who want to find out more about our work, are able to do so. </p><p>There was huge support for our suggestion that we send information through via regular email updates. Members also said that they would prefer shorter content that is easily digestible, in plain English and spread throughout the year.</p><p><strong>&nbsp;</strong></p><p><strong>Could you please briefly explain what Railpen has done in 2021/2022 to address members’ top issues?</strong></p><p>As investors, we have a few tools at our disposal to help us influence companies to improve what they do on governance and sustainability. This includes speaking to senior company management privately, making our concerns public – if progress is taking too long – or speaking to governmental policymakers, where we think a change in regulation may help more companies make sustainable decisions. We may also choose to remove companies from our portfolio if we think the risk they pose is too big to manage and no progress is being made.</p><p>This year, we <span style="text-decoration: underline">publicly expressed our view on companies’ approaches to sustainable ownership</span> at nearly 1,700 companies (by voting at their Annual General Meetings), flagging our concerns on one or more issues with nearly 60% of these companies. We are also intensively discussing approaches to <span style="text-decoration: underline">climate change</span> at 41 companies as part of our Net Zero Engagement Plan and have been working with the industry and policymakers to ensure more companies give us necessary information on <span style="text-decoration: underline">how they treat their workers</span> – so that Railpen and others can better hold these firms to account.</p><p>More information on our work and the impact we’ve had on members’ priority issues can be found in the Sustainable Ownership Member Review!</p><p><strong>&nbsp;</strong></p><p><strong>And Caroline, as a member of the Railways Pension Scheme - what is your favourite part of the Sustainable Ownership Member Review and why?</strong></p><p>I’ve got a soft spot for the case studies, where we explain how the context of the issue shapes the nature of the tools we use and – where we haven’t yet had the necessary impact – what we’re going to do instead. </p><p>I also think the glossary is really helpful. We know that some of the language we use will be unfamiliar to some members, so we’ve dedicated two pages to explaining all the key terms: if you’re reading the Member Review and need to double-check what something means, do flip to the end of the report for an explanation!</p><p><strong>&nbsp;</strong></p><p><strong>Looking ahead, what are your key priorities for communications with members on Sustainable Ownership?</strong></p><p>We want to encourage a two-way dialogue with members: we don’t just want to be talking ‘at’ you, we want to hear from you and if you’ve got a pressing question, we want you to feel able to ask it. </p><p>There are a few different things we can do to help build this kind of relationship. The Sustainable Ownership Member Review, which tells the story of what we do and how we’ve achieved impact on members’ behalf, is one part. The member survey – which we will be running again in November this year – is also important as it helps us gain a sense of what, if anything, has changed amongst the membership in terms of priority issues and communication preferences. And we’re hoping that by giving members the kind of regular communications they want, with the option to contact us if they have any thoughts about what they’ve read, we’re stimulating a more regular conversation throughout the year.</p><p><strong>Read the report <a href="https://www.railpen.com/media/3gelmunf/so-member-report-2021.pdf" target="_blank" data-sf-ec-immutable="">here</a>.&nbsp;</strong><br></p><p>*Broadly speaking, Sustainable Ownership is the way Railpen – the investment manager of the railways pension schemes - calls their approach to incorporating sustainability issues, like climate change or executive pay, into the investments Railpen manages on your behalf.</p><p>&nbsp;</p>

<div>Pension Credit is separate from your State Pension, and you may still be able to claim it even if you have another income, savings or are claiming another pension. It's a payment from the government to help with living costs if you’re over State Pension age and on a low income.&nbsp;</div><div><br></div><h3>Who is eligible for Pension Credit?</h3><div>To claim Pension Credit you must have reached <a href="https://www.gov.uk/state-pension-age" target="_blank" data-sf-ec-immutable="">State Pension age</a> and live in England, Scotland or Wales. Even if you’re still working, you may be able to claim Pension Credit to top up your income if you’re over State Pension age.&nbsp;</div><div><br></div><div>You can apply for Pension Credit up to four months before you reach State Pension age, and any time after. It’s worth bearing in mind that if you are eligible for Pension Credit it can only be backdated by up to three months.&nbsp;</div><div><br></div><div>Your State Pension age will depend on when you were born. Use the Gov.uk website to check your State Pension age.</div><div><br></div><h3>Applying for Pension Credit</h3><div>As part of your application for Pension Credit the government will consider your income. If you have a partner, their income will also be included.&nbsp;</div><div><br></div><div>Income includes: </div><ul><li>Any other pensions you have, including pensions you have not claimed yet</li><li>Your State Pension</li><li>Your earnings from employment or self-employment</li><li>Most social security benefits</li></ul><div>The government will also consider your savings and investments.</div><div><br></div><div>Using this information, the government will then calculate the amount of Pension Credit you will be able to get.</div><div><br></div><div>To find out if you may be able to claim Pension Credit and for more guidance on how to apply, visit <a href="https://www.gov.uk/pension-credit/eligibility" target="_blank" data-sf-ec-immutable="">Gov.uk</a>.&nbsp;</div><div><br></div><h3>How Pension Credit works</h3><div>Pension Credit tops up your income to £182.60 a week if you are single. Or if you have a partner, Pension Credit will increase your combined weekly income to £278.70.*</div><div><br></div><div>If you’re eligible for Pension Credit, it could help you with day-to-day living costs such as Council Tax, housing costs, NHS Services and heating bills. If you’re over 75, you could be entitled to a free TV license with Pension Credit, so it’s worthwhile looking into.&nbsp;</div><div><br></div><div>Even if you have savings or receive another pension, you may be entitled to Savings Credit. To claim Savings Credit, you must have reached State Pension Age before 6 April 2016, and have saved some money for when you stop working, such as a pension. If you’re eligible, you will get up to £14.48 Savings Credit a week if you’re single, and if you have a partner, you’ll get up to £16.20 a week.*&nbsp;&nbsp;</div><div><br></div><div>If you want to find out how much Pension Credit you could get you can use the <a href="https://www.gov.uk/pension-credit-calculator" target="_blank" data-sf-ec-immutable="">Pension Credit Calculator</a>.</div><div><br></div><div><em>*Figures are correct as of August 2022 but may change. To check the latest figures, visit <a href="https://www.gov.uk/pension-credit/eligibility" target="_blank" data-sf-ec-immutable="">Pension Credit: Eligibility - GOV.UK (www.gov.uk)</a> or <a href="https://www.gov.uk/pension-credit/what-youll-get" target="_blank" data-sf-ec-immutable="">Pension Credit: What you'll get - GOV.UK (www.gov.uk)<div></div></a><br></em></div><p><em><em>&nbsp;</em></em></p>

<p>Women in 2022 would need to work 18 more years full-time to save the same amount into their pension as men, according to research*. </p><p><span style="background-color: rgba(0, 0, 0, 0); color: inherit; font-family: inherit; font-size: inherit; text-align: inherit; text-transform: inherit; white-space: inherit; word-spacing: normal; caret-color: auto">The average pension savings of a 65-year-old woman today is just 20 per cent of the average pension savings of a 65-year-old man.</span><br></p><p>While the average UK pension savings have nearly doubled to £111,600, women’s pension savings have hardly increased at all.</p><p>&nbsp;Global life expectancy rates show the average woman living 5 years longer than men, so in fact women should be saving more, not less!</p><h3><span style="background-color: rgba(0, 0, 0, 0); color: inherit; font-family: &quot;Open Sans Condensed&quot;, sans-serif; font-size: var(--font-size-h3); font-weight: bold; text-align: inherit; text-transform: inherit; white-space: inherit; word-spacing: normal; caret-color: auto">Why is there such a wide gender gap in pension savings?</span></h3><p><span style="background-color: rgba(0, 0, 0, 0); color: inherit; font-family: &quot;Open Sans Condensed&quot;, sans-serif; font-size: var(--font-size-h3); font-weight: bold; text-align: inherit; text-transform: inherit; white-space: inherit; word-spacing: normal; caret-color: auto"></span>There are numerous reasons but here are the main ones:</p><ul><li>Despite women’s employment rate currently being the highest since records began (72.7%), women are more likely to work part-time. This is usually because they’re more often the main carer for ill and elderly relatives and take time out for small children. <p>&nbsp;</p></li><li>Because women spend on average 10 years away from work due to caring responsibilities, this adds to the gender pay and pensions gap by offering fewer opportunities for career progression and higher salaries, according to the report. <p>&nbsp;</p></li><li>One in six women don’t currently qualify for automatic enrolment as they earn below the current £10,000 per annum threshold which triggers auto-enrolment by the employer. <p>&nbsp;</p></li><li>The high cost of childcare is found to be a barrier for many women considering returning to work.&nbsp;&nbsp;</li></ul><h3>So what can you do to help yourself?</h3><ol><li>&nbsp;<span style="background-color: rgba(0, 0, 0, 0); color: inherit; font-family: inherit; text-align: inherit; text-transform: inherit; white-space: inherit; word-spacing: normal; caret-color: auto; font-size: inherit">The law states that if you earn below the threshold but between £6,240 and £10,000, you can ask your employer to join the Scheme and your employer must include you and pay contributions towards your pension savings.</span><p><br></p></li><li>If you’re enrolled in the Railways Pension Scheme, make sure you register for a myRPS account and really get involved with your pension, so you can take advantage of all the guidance and pension planning tools available to help you prepare wisely for retirement. <a href="https://member.railwayspensions.co.uk/login" data-sf-ec-immutable="">Register and/or log in</a> and check your account today! <p>&nbsp;</p></li><li>Don’t forget your national insurance credits. Many benefits, including child benefits, automatically give you NI credit. Some women don’t sign up for child benefit because if their partner earns over £50,000 they would have to start paying it back.&nbsp; But you don’t need to actually receive the cash – you can just sign up to ensure your NI record and then your State Pension will be protected. <p>&nbsp;</p></li><li>You could consider extending your working life. Your Railways Pension Scheme pension will offer you a Normal Retirement Age (NRA). <a href="https://member.railwayspensions.co.uk/login" data-sf-ec-immutable="">Log in to your myRPS</a> to check what yours is and think about extending it.<p>&nbsp;</p></li><li>Putting in a small, extra regular amount now into AVCs (Additional Voluntary Contributions), could go a long way towards a better future. You can put as little as £2 extra per week. This means you make the most of the valuable tax relief you get and the longer you have your money invested, the more chance it has to grow. If you’re a DB member of the RPS, the main AVC scheme is called <a href="/defined-benefit-members/saving-more-BRASS-AVC-Extra/saving-more-with-BRASS">BRASS</a>.&nbsp; For IWDC members, you can <a href="/iwdc-members/Im-still-working/saving-more">save more with AVCs</a>. <p>&nbsp;</p></li><li>If you’ve had a number of different jobs, don’t forget to check that you’ve kept track of all your past pension schemes. The Pension Tracing Service is free and can help you find a pension you’ve lost. Go to <a href="https://www.gov.uk/find-pension-contact-details" data-sf-ec-immutable="" data-sf-marked="" target="_blank">https://www.gov.uk/find-pension-contact-details</a> and follow the online steps.<p>&nbsp;</p></li><li>If you’re a woman working in the railways, why not join <a href="https://womeninrail.org/" data-sf-ec-immutable="" data-sf-marked="" target="_blank">Women in Rail</a>? Women in Rail was created to improve diversity in the UK rail industry through providing networking opportunities and support for all women within the sector. There are regional branches across England and Scotland and the groups offer events, career opportunities, news, mentoring and awards. Women in Rail may not directly help you to boost your pension, but you’ll join like-minded women in rail and receive support and guidance.</li></ol><p><span style="background-color: rgba(0, 0, 0, 0); color: inherit; font-family: inherit; font-size: inherit; text-align: inherit; text-transform: inherit; white-space: inherit; word-spacing: normal; caret-color: auto">*The Gender Pensions Gap Report 2022 by Now Pensions and the Pensions Policy Institute (PPI)</span><br></p><p>&nbsp;</p>

<p>After over two years of living and working during a global pandemic, the world is slowly starting to find its way back to what feels like normal. This unprecedented time has undoubtedly left its mark on the way we live, think, work and perceive the world that surrounds us. But how has the pandemic impacted on the way we think about and plan ahead for our ‘golden days’?</p><p>Searching for the answer, the Pensions and Lifetime Savings Association (PLSA) commissioned the Centre for Research in Social Policy at Loughborough University to conduct a research and to report on ‘<a href="https://www.retirementlivingstandards.org.uk/Impact-of-COVID-19-on-RLS-Oct21.pdf" data-sf-ec-immutable="">The impact of COVID-19 on thinking about and planning for retirement’</a>.</p><p>Published in October 2021, the report aimed to develop an understanding of some of the ways in which Covid-19 may have influenced people’s experiences of, thinking about, planning for and expectations regarding retirement. </p><p>Two main conclusions were made based on the findings of this study:</p><ol><li>The Covid-19 pandemic has triggered people to re-focus on their retirement planning and to think about whether they are on track to have the retirement they want. The study suggests that this may be a good opportunity for employers and pension providers to build on the momentum and to really stress on the importance of accessing advice and support in thinking about retirement while this topic is fresh in people’s minds.</li><li>The severe social restrictions that we all had to live by as a result of the Covid-19 lockdown had highlighted the importance of having the freedom, choice and opportunity to socialise, travel and holiday abroad. And also to have the financial security to be able to afford this - central concepts and ideas contained within the definitions of the Retirement Living Standards*. The fact that we were forced to isolate from the outer world has made us realise and appreciate even more how important&nbsp; it is to be able to participate in the world around in the simplest of ways - seeing family and friends, eating out, travelling, planning social engagements and activities. </li></ol><p>Nineteen participants from all over England, from across a range of socio-economic backgrounds, took part in three 3-hour online discussions. Active pension savers approaching retirement (55+) and retirees were two main target groups that took part in the research by sharing their experiences, views and ideas as part of a facilitated dialogue and discussions. </p><p>Based on these conclusions and findings from another study conducted by the Centre for Research in Social Policy at Loughborough University called <a href="https://www.retirementlivingstandards.org.uk/Retirement-living-standards-in-the-UK-in-2021.pdf" data-sf-ec-immutable="">Retirement living standards in the UK in 2021</a>, the PLSA updated the Retirement Living Standards for the first time in October 2021. Some of the changes included more money for eating out, a higher personal grooming budget and the inclusion of a Netflix subscription.</p><p>&nbsp;</p><p>*The Retirement Living Standards are designed to help pension savers picture the lifestyle they want when they retire, and understand the cost. They are realistic expectations based on feedback from real people around the UK.</p>

<p>Deciding when to retire isn't always easy. And there are a lot of factors that can come into play:</p><ul><li>When can I start getting my pension?</li><li>Can I really afford to stop work yet?</li><li>Am I ready for the lifestyle change?</li></ul><p>You'll find more information to help you make the right decisions for you in the I'm planning to take my pension sections of the website and in the summaries below.<br><br></p><h3>Understanding when you can start taking your pension&nbsp;</h3><p>Most RPS members will have a Normal Retirement Age, also known as NRA, of between 60 and 65 years old. This can differ depending on the section you're a member of.&nbsp;<br><br>If you're unsure what your NRA is, you can check it in your Member Guide. This is available in the Library section once you've logged into your <a href="/login">online account</a>.&nbsp;<br><br>Keep in mind that your NRA is likely to be different to the age for claiming your State Pension. This is because your NRA is set by the Scheme, while the State Pension age is set by the government and is based entirely on when you were born. You can check your State Pension age on the <a href="https://www.gov.uk/state-pension-age" target="_blank" data-sf-ec-immutable="">government website.</a><br><br>Your NRA may also differ from scheme to scheme and from section to section. If you're a member of another scheme, such as previous workplace pensions or private pensions, you'll need to contact each provider directly, or refer to the relevant paperwork to find out your NRA for those schemes.&nbsp;<br><br>If you have preserved pensions in other sections of the RPS, please check your <a href="/login">myRPS account </a>for more details on those.<br><br>In some circumstances, you may be able to start taking your RPS pension earlier or later than your NRA. If you're a DB member, go to the <a href="/defined-benefit-members">dedicated DB section</a> of this website, or if you're a IWDC member, go to the <a href="/iwdc-members">dedicated IWDC section</a>.<br><br><br></p><h3>Working out if you can afford to stop work</h3><p>Working out whether or not you can afford to stop work will depend primarily on 3 things:<br><br><strong>1. How much your retirement is likely to cost</strong><br><br>To work out how much your retirement is likely to cost, you can use the Retirement Living Standards, or RLS, as a benchmark. The RLS was created by the Pensions and Lifetime Association, also known as the PLSA, to show how much you may need each year in order to fund a 'minimum', 'moderate' or 'comfortable' lifestyle. <br><br>You can find out more on the <a href="https://www.retirementlivingstandards.org.uk/" target="_blank" data-sf-ec-immutable="">RLS website</a>, but as a rough guide, they suggest the following:</p><p><span style="background-color: rgba(0, 0, 0, 0); color: inherit; font-family: inherit; font-size: inherit; text-align: inherit; text-transform: inherit; word-spacing: normal; caret-color: auto; white-space: inherit"></span><img src="https://cdn3.railpen.com/mp-sitefinity-prod/images/default-source/infographics-(current)/rps-retirement-living-standards_v04_summary-matrix.svg?sfvrsn=4b9611a_3" alt="Summary showing how much you might need when you retire"></p><p>A <a href="/knowledge-hub/help-and-support/retirement-budgeting-calculator">retirement budgeting calculator</a> is also available on this website, which takes into account the RLS and lets you add other individual costs that are tailored to you. This includes your household bills, travel expenses, leisure costs and the money you spend on others. Combined, this will give you a personalised estimate of how much your retirement lifestyle may cost each year.&nbsp;<br><br><strong>2. How much income you're likely to have coming in</strong><br><br>Once you know how much you're likely to spend in retirement, you can then work out whether you're likely to have enough money coming in to cover those costs. You'll need to take into account all your possible sources of income. These can include:</p><ul><li>Your workplace pension — you can check your Annual Benefit Statement or log into your online account for an estimate of how much your pension will pay out</li><li>Your State Pension — the amount you get is set by the government. You can <a href="https://www.gov.uk/state-pension-age" target="_blank" data-sf-ec-immutable="">request an estimate online</a> on the website</li><li>Other pensions — such as a private pension or pensions linked to previous employment. You'll need to speak to each of the providers individually for estimates on those accounts. If you've lost their contact details, the Pensions Tracing Service may be able to help. It's a free, Government-backed <a href="http://www.gov.uk/find-pension-contact-details" target="_blank" data-sf-ec-immutable="">service available online</a> and over the phone on 0800 731 0193. Other companies offer a similar service but many charge a fee</li><li>Savings and investments — if you have savings outside of your pension, get those statements from your bank or other provider</li></ul><p><strong>3. Whether your spending and income will match up</strong><br><br>If after following steps 1 and 2, you're worried that your income in retirement won't cover your costs, there are things you can do:</p><ul><li>Get advice — Liverpool Victoria, or LV, has been chosen as the official partner to give RPS members access to financial advice. LV can be contacted on 0800 023 4187. You can also find an Independent Financial Adviser, or IFA, in your area on the <a href="http://www.unbiased.co.uk" target="_blank" data-sf-ec-immutable="">Unbiased website</a> — just be sure to go with someone who has knowledge and experience in pensions, rather than a generic financial adviser.&nbsp;</li><li>Consider topping up your pension pot — think about paying more into your pension before you stop work if you can. This is known as making Additional Voluntary Contributions (AVCs). It's tax-free up to certain limits </li><li>Think about changing your retirement age — you can delay taking your pension, giving you more time to increase it. This is not a decision to be taken lightly and we suggest you speak with a Financial Adviser first. </li><li>Clear your debts — if possible, try to pay off any debts you owe before you retire </li></ul><p>There are planning tools available to help you see the impact of making some of these changes and help guide you towards your retirement goals. For DB members, this includes a Pension Planner, and for IWDC members, there's a Retirement Modeller. <a href="/login">Log into your online account</a> to give them a try. <br><br></p><h3>Preparing for the lifestyle change</h3><p>The move from working to retirement can often have an emotional impact, as well as a financial one.&nbsp;<br><br>For those preparing to retire, the British Heart Foundation has a few <a href="https://www.bhf.org.uk/informationsupport/heart-matters-magazine/wellbeing/retirement/retirement-tips" target="_blank" data-sf-ec-immutable="">top tips</a> for making the mental adjustment. This includes:<br><br></p><ul><li>Getting your finances in order</li><li>Winding down gently</li><li>Developing a new routine</li><li>Making a list of the things you'd like to achieve, and;</li><li>Seeking social support</li></ul><p>You'll find further specialist support available from a range of railway-based organisations, including:</p><ul><li><a href="http://www.btpf.org/" target="_blank" data-sf-ec-immutable="">British Transport Pensioners Federation (BTPF)</a>, which protects and maintains the wellbeing of Railway people in retirement</li><li><a href="https://www.railwaybenefitfund.org.uk/" target="_blank" data-sf-ec-immutable="">Railway Benefit Fund (RBF)</a>, an independent charity that supports railway workers and their families through a variety of issues</li><li><a href="https://railwaymission.org/" target="_blank" data-sf-ec-immutable="">The Railway Mission</a>, which operates a chaplaincy service to staff from all sectors and levels of the railway industry</li></ul><p>There's also <a href="https://www.ageuk.org.uk/" target="_blank" data-sf-ec-immutable="">Age UK,</a> which is the UK's largest charity for older people. They provide many local services, aimed at inspiring, supporting and enabling people to get the most from life, and can offer a wide range of information and advice. </p>

<p>With the start of the new financial year, now might be a good time to get to grips with your pension. You may even feel that the time has come for you to take control of the way your money is invested and to make sure the investments are doing good. Either way, you may find it difficult to know where to begin. </p><p>Seeking the answers, we lift the curtain on how we invest your money sustainably with the help of Michael Marshall, Head of Sustainable Ownership at Railpen. From de-mystifying the investment jargon to tips for people who want their investments to do well – Michael explains it all.</p><p>&nbsp;</p><p><strong>Michael, ‘sustainable ownership’ seems to be a common term in many different financial areas. What’s the best way to explain what it is with regards to pensions? </strong></p><p>Firstly, let’s acknowledge that there’s far too much jargon around. Readers might have heard of ‘ESG’, ‘RI’, ‘SRI’, ‘Impact investment’, ‘Ethical Investment’, ‘Sustainable Investment’, ‘Active Ownership’, or some other term. </p><p>At Railpen we use the term ‘Sustainable Ownership’ to describe the work we do to incorporate sustainability into the way we invest and oversee our members’ money. It comprises a range of activities that our sustainable ownership professionals undertake, as we’ll come to later in the blog.</p><p><strong>&nbsp;</strong></p><p><strong>Why do we invest members’ money sustainably? </strong></p><p>Research suggests that when businesses face sustainability challenges, and fail to manage those challenges successfully, they could suffer in a number of ways: customer loss, higher operating costs, regulatory intervention, product recalls, lawsuits, less productive workforce, or loss of social license to operate. </p><p>There’s also evidence to suggest that companies that are well governed are more resilient than poorly governed companies. As investors responsible for other people’s money, it’s important that we identify whether companies are prone to risks that could affect the value of the investment we have made. That’s why we apply our sustainable ownership framework to our investment portfolios.</p><p>&nbsp;</p><p><strong>And, how does Railpen, as the investment manager of the RPS, ensure it invests members’ money sustainably?</strong></p><p>There’s a range of things we do, but I’ll mention just three here. As a quick aside, our work in this area helped us win the Investment &amp; Pensions Europe award for our approach to ESG (environmental, social, and governance issues). &nbsp;<br></p><p data-list="0" data-level="1">(1)&nbsp; Sometimes we choose not to invest in a company, or a set of companies, where we think the sustainability challenges are excessive and where they are unlikely to be well managed. We currently have an exclusion list covering companies that make controversial weapons (such as cluster munitions), thermal coal companies (thermal coal miners and coal power generators), and companies that have shown excessively poor conduct (for example where workforce fatalities have occurred and sufficient remedial steps have not been taken). <br><br>(2)&nbsp; When we are considering whether to invest in a company, a member of our team undertakes sustainable investment analysis to identify the sustainability risks faced by the company, and what the company is doing about them. This analysis in some cases leads to a decision not to invest in a company.<br></p><p data-list="0" data-level="1">(3)&nbsp; As investors we have certain rights at the companies we invest in. This can include the right to ‘engage’ a company – where we meet the company’s board or management to explain our expectations about some particular issue – and the right to vote at company Annual General Meetings (AGMs). These rights enable Railpen to influence companies for the better, and to hold boards and executive management to account. You can find out much more about how we vote in the <a href="https://cdn-suk-railpencom-live-001.azureedge.net/media/media/dlopqu3s/voting-policy_2022.pdf" data-sf-ec-immutable="">Railpen Voting Policy</a> and the <a href="https://vds.issgovernance.com/vds/#/OTI4OQ==/" data-sf-ec-immutable="">vote disclosure portal</a> on the Railpen website. </p><p>That was a heavily condensed version of what we do – interested readers should take a look either at our detailed <a href="https://cdn-suk-railpencom-live-001.azureedge.net/media/media/52lhtclx/stewardship-report-2021.pdf" data-sf-ec-immutable="">Stewardship Report</a>, or our shorter briefing for members which we call the <a href="https://cdn-suk-railpencom-live-001.azureedge.net/media/media/v5fbm4vu/railpen-sustainable-ownership-review-2020.pdf" data-sf-ec-immutable="">Sustainable Ownership Review</a>. </p><p>&nbsp;</p><p><strong>Many members choose a ‘hands off’ approach and leave it to Railpen to decide where to invest their money. How do you decide where to invest? </strong></p><p>As I mentioned above, we have some exclusion lists that tell us where not to invest, and we undertake sustainability analysis of the companies we do invest in to avoid companies that might face sustainability challenges or have poor corporate governance. </p><p>Beyond that, our portfolio managers seek to exploit investment themes, and one very powerful theme is the climate transition. As the global economy decarbonises over the coming decades, this is likely to produce an array of investment opportunities. We were an early starter here. </p><p>We started to integrate climate change into our investment decision-making process in 2016. Two years later, we signed the Global Investor Statement on Climate Change, supporting The Paris Agreement's goal of keeping global temperature rise below 2˚c. We decided to vote against companies which lack climate expertise, and auditors and companies who ignore the impact of climate change on their financial accounts. In 2020, we published our <a href="https://cdn-suk-railpencom-live-001.azureedge.net/media/media/inhpqhuj/so-climate-related-disclosure-report_2020.pdf" data-sf-ec-immutable="">Climate-Related Disclosure</a> which tells you exactly how our plans on climate change are going.</p><p><strong>&nbsp;</strong></p><p><strong>What options do we have for members who want to be involved in the process and want to make sure their pension money is invested sustainably? </strong></p><p>Members paying into Defined Contribution arrangements are invested in funds that are managed either directly by Railpen, or by another underlying fund manager that has been carefully chosen by Railpen. </p><p>When Railpen is managing the investments directly, we apply our sustainable ownership framework, which we think leads to a portfolio of investments with strong sustainability characteristics - a portfolio our members can be proud of. </p><p>When an external party is the underlying investment manager, they will have had to meet Railpen’s sustainability standards in order to be appointed, and these standards need to be maintained through the manager’s tenure. </p><p>For example, Railpen has published a <a href="https://cdn-suk-railpencom-live-001.azureedge.net/media/media/dyiflcd5/railpen-net-zero-plan_2020.pdf" data-sf-ec-immutable="">Net Zero Plan</a> – a roadmap outlining how we intend to get to net zero GHG emissions by 2050 or sooner. We also require external investment managers to sign up to this too. </p><p>As a result, we believe the line-up of investment options available to members are well aligned with robust sustainable outcomes. </p><p>There’s loads of really useful information, clearly laid out in the <a href="3D6DC2A3-467E-4ADE-9F2C-C19BA2652B4E">Paying into IWDC</a> section of the website.&nbsp;&nbsp;<a href="https://member.railwayspensions.co.uk/in-the-scheme/paying-into-iwdc/invest-in-your-future" data-sf-ec-immutable=""></a></p><p>&nbsp;</p><p><strong>Lately, we’ve been hearing more and more about ‘greenwashing’ and companies overstating their credentials when it comes to investing sustainably. Can you explain what this means?</strong></p><p>Greenwashing is when companies claim to be doing ‘good’ things when in fact they’re not, or exaggerating the good that they actually do, or use diversion tactics to distract their stakeholders from important sustainability issues. </p><p>When we analyse or engage a company we aim to see through greenwashing by drawing on independent sources of information, comparing and contrasting several sources, using “materiality maps” to make sure we’re focussed on the issues that matter, and cross referencing companies with their competitors to get a side by side comparison. </p><p>We also develop common assessment frameworks that allow us to verify a company’s claims – such as their claims to be aligned with ‘net zero’ – against a robust set of criteria. </p><p>&nbsp;</p><p><strong>Michael, what would you say to all members of the RPS who have some or all of their pension invested on their behalf? </strong></p><p>We feel privileged to have the responsibility for supporting so many RPS members to achieve their long- term financial goals. We invest solely for our members, and aim to deliver sustainable returns in support of Railpen’s purpose: to secure our members’ futures.</p><p>&nbsp;</p><p><strong>And finally, what tips would you give to newbies who want their investments to do well but also to ensure their money is used to address environmental, social and governance (ESG) issues?</strong></p><p>Firstly, investors are required to produce substantial amounts of information each year on ESG issues, so look out for that, read it, and get in touch with us if you’d like to know more. </p><p>Secondly, use the mechanisms available to engage with Railpen. We often conduct member surveys and focus groups on sustainability topics. If you’re interested, express an interest in taking part by joining our <a href="/knowledge-hub/news-and-views/platform">member advisory group Platform</a>.</p><p>Thirdly, have patience. Sustainability is all about the long term. Good sustainable investments might prove themselves over several years rather than being overnight winners. The same is true for companies that are starting from a low base, but have a plan to transition towards sustainability. It is our experience that patience often pays off, whilst short termism can be an ineffective strategy.&nbsp;</p>

<p>In the day and age that we live in, it’s possibly more important than ever for Railpen, the administrator of the Railways Pension Scheme (RPS), to ensure our members’ pension savings and personal data are kept and managed with extreme care and attention. &nbsp;</p><p>Safety and security sit very high on our agenda and are top priority for our people. We value the trust that members place in us as custodians of their data and pension money. And, we work tirelessly to ensure they are fully protected and secure. </p><h3>What we do to achieve this<br></h3><ul><li>We handle your data in compliance with the General Data Protection Regulation (GDPR) and the Data Protection Act 2018.</li><li>We hold one of the most reputable and trusted international standards for information security ISO 27001. </li><li>We have robust controls and procedures in place and provide secure infrastructure to reduce the risks of unauthorised access to your information. </li></ul><h3>How we do it</h3><p>We are fully committed to ensuring we stay on top of and have the latest security measures in place. We do this by utilising internal expertise and high-tech solutions. Here are some of the steps we undertake to ensure the safety and security of your pension:<br></p><ul><li>We ensure our systems have the latest security measures applied to stop anything harmful from trying to get in </li><li>We continuously assess security controls for effectiveness </li></ul><p>We aim to raise awareness of the importance of observing safety and security practices with colleagues across all levels of the business. We’ve put some steps in place to ensure they do this, including a mandatory e-learning module and regular cyber security awareness briefings to all users of Railpen systems and information.</p><h3>Want more information?</h3><p>Read how to spot – and report – different types of fraud at <a href="https://www.actionfraud.police.uk/" target="_blank" data-sf-ec-immutable="">actionfraud/police.uk</a> </p><p>For more details about spotting pension scams, and what to do if you’ve been targeted, visit <a href="https://www.moneyhelper.org.uk/en/money-troubles/scams/how-to-spot-a-pension-scam?source=pw" target="_blank" data-sf-ec-immutable="">pensionwise.gov.uk/scams</a></p>

<p>&nbsp;</p><p>The 2021/22 tax year is due to come to an end on 5 April. There’s still a little bit of time, though, to roll up your sleeves and take a few actions to make the most of your pension before then. Use our tips below to help you get started.</p><h2>Use your Annual Allowance wisely</h2><p>There’s a certain limit on the total amount you can save towards your pension in a single tax year before you pay any tax. The limit is also known as Annual Allowance. It is currently either 100% of your annual earnings or £40,000, whichever is lower, unless the Tapered Annual Allowance applies to you.*</p><p>&nbsp;With the start of the new tax year, the Annual Allowance will renew. So, if you haven’t used your whole allowance for this year, why not think about paying more in to make the most of it while you can. </p><p>&nbsp;If you’ve maxed your allowance out for the 2021/22 tax year – that’s fine, you have other options. You can carry forward any unused allowances from the last three years. For example, if you have some unused allowance from two years ago, you can make use of it in the 2022/23 financial year.</p><p>&nbsp;</p><h2>Tax relief is a great helper too</h2><p>Tax relief is one of the reasons why saving up for retirement with the Railways Pension Scheme is such a fantastic opportunity. It means you don’t pay any tax on the money you put in, which makes your money go further in the long run. <br></p><p>The amount of tax relief you get depends on the rate of income tax you pay. Basic-rate taxpayers (who pay 20% income tax) get tax relief at the same rate. If you’re a higher-rate taxpayer you get 40% tax relief, and additional-rate taxpayers get 45%. <br></p><p>So, if you’re a basic-rate taxpayer and want to put in £100, all that money will end up in your pension as you won’t get charged any tax on it. Otherwise, you would’ve been left with £80 as the taxman would’ve taken £20 off you.</p><p><a href="https://member.railwayspensions.co.uk/pension-essentials/pension-tax-limits" data-sf-ec-immutable="" data-sf-marked="">Find out more about how tax relief works and what tax limits apply.</a></p><p><br></p><h2>Working parents – pay in more to get your child benefit back</h2><p>Did you know that the money you put in towards your pension don’t count as an income? This is handy to know, especially if you have children. Here’s why. <br></p><p>If your income is £50,000 or over, you may have to pay extra tax, also known as the ‘High Income Child Benefit Charge’. If you’re earning over £60,000, the tax charge becomes higher than the benefit itself, making it unviable to claim it. <br></p><p>This is why it makes sense to reduce what counts as your income by putting in more towards your pension. That way, you would be in a win-win situation. You could keep your child benefit and boost your pension at the same time. <br></p><p><a href="https://member.railwayspensions.co.uk/pension-essentials/pension-tax-limits" data-sf-ec-immutable="" data-sf-marked="">More information on Annual Allowance and other tax limits.</a> </p><p>&nbsp;</p><h2>Make the most of your tax-free Personal Allowance </h2><p>The standard Personal Allowance is the amount of income you do not have to pay tax on. It is currently set at £12,570. You will be charged tax on anything more you earn. If you earn over £125,140, you will lose your Personal Allowance and you will have to pay tax on all your earnings. &nbsp;<br></p><p>Keeping this in mind, it seems sensible to look at ways to recover any loss from your Personal Allowance. You may be able to do this by increasing the amount you pay towards your pension. That way, you’ll be saving on tax and saving more towards your future at the same time. &nbsp;&nbsp;</p><p>&nbsp;</p><h2>Pay in a lump sum</h2><p>You may have some cash sitting in your bank account, patiently waiting to be spent, or if you’re lucky enough, you may get a bonus. Whatever the situation, why not put it in towards your pension? Paying a lump sum is a great way to give it a ‘top up’. And, you’ll get tax relief from the government too. This could be a great way to make the most of your current pension Annual Allowance before this tax year comes to end on 5 April.</p><p>&nbsp;</p><p>*The Tapered Annual Allowance is a lower Annual Allowance and may affect you if your income is over £200,000</p>

<p>However, it’s important to put some simple arrangements in place to make sure the ones closest to you are provided for after you die. &nbsp;</p><p>Be sure to tell the Trustee your choice on where the money you’ve saved into your pension should go. This way you can ensure your pension savings end up in the hands of the right people when you’re no longer here.</p><p><strong>Having a Will is not enough</strong></p><p>When it comes to passing money on, for many people the first thing that springs to mind is making a Will. And, this undoubtedly is a very important step to make. However a Will doesn’t usually cover your pension savings. According to information provided by the ONS, an estimated 42% of the total wealth of Great Britain is tied up in pension plans*, so make sure you let the Trustee know where your money should go.</p><p><strong>Peace of mind for you and for your loved ones</strong></p><p>Give the ones you care about the peace of mind they deserve. Complete a nomination form to make sure your wishes are considered by the Trustee, and that they know where you would like your money to be paid. You can nominate individuals, such as a family member or a friend, a charity, club or organisation. You can nominate more than one person by listing what percentage of your lump sum should go to each one of them. If you die before claiming your pension, a lump sum worth up to four times your salary could be paid.</p><p>Your nomination is confidential. Your beneficiaries will not be told that you have added or removed them as your nominated beneficiary.</p><p><strong>How to make nominations</strong></p><p>It takes five simple steps to make a nomination:</p><ul><li>Log in to your <a href="/login">myRPS account</a></li><li>Go to ‘My Nominations’ (under the ‘My Pension’ section)</li><li>Add the details of each nominee</li><li>Select what percentage you’d like each nominee to receive, making sure it adds up to 100%</li><li>Press submit</li></ul><p>If you haven’t yet registered for your account, it only takes a few minutes – all you need is your national insurance number, pension reference number and your personal email address.</p><p><strong>More information is available</strong></p><p>You can also watch a short video on nominations in the video library&nbsp;<a href="https://member.railwayspensions.co.uk/resources/video-library/planning-and-saving" data-sf-ec-immutable="" data-sf-marked="">here</a>.</p>