Ill Health Retirement Advice in Cheltenham

I recently had the pleasure of working with a family where the main breadwinner had worked for the local council for over 30 years. He contacted me as I had worked with his parents many years ago, and as such, he trusted our advice and guidance.

Due to underlying health conditions, he decided to retire early and began the process with his employer. His Union representative informed him that an uplifted pension was not an option given his health condition. My initial response is always to question and critique a decision such as this.

Explore LGPS Ill Health Retirement Benefits

It’s essential to understand your pension provisions, especially the scheme rules for ill health retirement. We followed these steps to thoroughly examine the client’s situation and options.

Key Steps to investigate your eligibility for Securing Ill Health Retirement Benefits

1. Scheme Assessment

We reviewed pension information provided to our client to determine eligibility for ill health retirement benefits under the Local Government Pension Scheme (LGPS). These benefits often include different tiers, such as Tier 3 pensions, which can significantly impact the final pension amount.

If you’re unsure about the broader aspects of pension planning, our guide on retirement planning advice can help you prepare to retire on your terms.

2. Medical Evidence

We helped our client gather comprehensive documentation and a medical report from healthcare providers. The client consulted both their GP and an independent registered medical practitioner (IRMP) appointed by the local authority. This step was vital in building a strong case for a pension uplift.

3. Consideration of Alternatives

We also explored other options, such as part-time work or phased retirement, as a backup plan.

In this instance, I challenged the Union official’s response and advised my client to seek a second opinion.

The Result: A Life-Changing Pension Uplift

I’m pleased to report that by seeking a second opinion and following the process, the client secured an additional £8.5k per year in an index-linked pension, greatly improving his financial independence and quality of life. This outcome highlights the value of proactive financial planning and expert advice.

For those navigating recent changes in pension rules, our article on the LTA abolition and tax-free cash changes provides helpful insights into transitional benefits.

Why Independent Pension Advice Matters

Ill health retirement serves as a vital safety net for those who can no longer work due to medical reasons. If you find yourself in this situation, it’s crucial to explore all your options and seek advice from an independent financial adviser who specialises in pensions, something we do by serving those predominately in Gloucestershire and the Cotswolds.

Proactive financial planning can help you secure the benefits you deserve, whether it’s understanding how to qualify for ill health retirement or exploring other retirement options. Taking the time to prepare allows you to come to a solution that will benefit you in the long run. 

Final Thoughts

The main lesson is to question advice from non-experts in pensions and investments rather than accepting it at face value. By seeking professional guidance, you can ensure you’re making informed decisions about your future, such as understanding assumed pensionable pay or options related to your state pension age.

For additional support with your pension, visit our dedicated pension advice page.

For individuals dealing with complex life changes, such as retirement choices and divorce i.e. understanding how pensions are split in a divorce in the UK we can help provide clarity on securing your financial future.