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Think long and hard before opting out of your NHS pension

Our reader might be underestimating the benefits of his current scheme
February 28, 2019, Andrea Sproates and Rachel Winter

Ajay is 42, divorced and has a three-year-old daughter. He is an NHS manager and expects to earn at least £94,000 a year for the next three years.

Reader Portfolio
Ajay 42
Description

Isa and Sipp invested in cash and funds, cash, NHS pension

Objectives

4% to 5% average annual growth to build up assets large enough to pay out £12,000 a year starting in 15 years, buy home, pay school fees

Portfolio type
Investing for goals

“I plan to work beyond the age of 57, but in case I can’t, would like savings so I can sustain a modest lifestyle," says Ajay. "I would like an income equivalent to £12,000 a year today, so would like my investments to grow by 4 per cent to 5 per cent a year for the next 20 years.

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