Is it better to be opted into the State Earned Related Pension Scheme or stay opted out?

Answer 1

It's no longer just a matter of equating it to age. It's age and salary. As I understand it, the older you are, the greater the NI rebate you get for you own pension if you opt out. Similarly, the more you earn, the greater the NI rebate for your own pension if you opt out. You can get a quote from the National Insurance people on how much your pension (state basic and SERPS is worth), You will also need to determine the current and previous growth rate of your private pension fund. You will need to do your reserach. Obviously, we don't know what the pension rules will be when you retire regarding SERPS and therefore we can't be certain on what the government will provide when you retire. Neither do we know the future rate of growth of your pension fund between now and your retirement. However, if you believe that the NI rebates in your pension fund will outperform what you'll get on SERPS, then opt out. If you don't believe your pension fund can do better than SERPS, then opt into SERPS.

Answer 2

it will be better to opt back in when you reach 60+ im sure ive read that somewhere you will get a better pension then speak to an independant financial advisor who will give you all the facts you need to make a decision