Can I go back to work after early retirement?

[Flakelydove]

Hi I was given early retirement on grounds of ill health back in 2020 and received my pension early. I now wish to return to work a few hours a week but worried this will affect my pension and benefits including pip ? Any one have experience of this

[Dinkie]

Working does not affect PIP payments as this is not a means tested benefit. As for returning to work affecting your pension it would possibly affect your tax liability. Have you looked at the terms of your early retirement pension? I have to say I haven't a clue whether your pension would be affected but I suppose it would depend on whether you return to a similar job doing similar work to that you were retired from on the grounds of ill health but then again would the pension company need to know - check out those terms upon which the early retirement was granted.

I'm sure someone with more knowledge will be able to answer but these are just my thoughts.

[Flakelydove in reply to Dinkie]

Thank you yes I know it will effect the tax but it’s not really about earning a lot of money it’s about getting out again I’m struggling at home and I know I can’t do a lot physically but my brain isn’t that bad so I want to keep it active. I 52 so think I need something to do even just a few hours a week.

[Dinkie in reply to Flakelydove]

If it turns out you can't return to paid employment there are hundreds of charities out there desperate for volunteers.

[Flakelydove in reply to Dinkie]

I was helping out in a food bank when I was working but I couldn’t do that now too physically demanding unfortunately

[Dinkie in reply to Flakelydove]

I do admin for a couple of charities. It's great because I just need to attend meetings (often just zoom) occasionally and keep the paperwork up to date which I can do as and when I'm up to it. Perhaps the food bank have an admin post?

[Hazel_Angelstar Administrator FMA UK Staff]

It would depend on terms of your pension. I was medically retired from civil service, and I can work so long as its not in a civil service position. If I was to return to civil service my pension would stop

[Latics1989-90]

HiI took ill health retirement 4 years ago and was told by HR that I wasn't allowed to work again. I worked in school

Hope this helps

I wish you good luck in whatever you are allowed to do

Lots of love Lynne xx

[onebigvoice]

Yes dinkie is right about PIP's but it will affect other things like Tax entitlement.

By offering you early retirement this , for me meant that there was a reduction in the amount of pension received as a Monthly or weekly amount. On checking it out the carrot was you get a £25.000 cash tax free lump sum, but when checking out the amount of reduction in pension, even though having the right amount or years in to finish any way was cutting the pension amount in half?

That said I went back to work after taking ill health redundancy but not excepting the package offered. As long as you are of working age you can go back to work and not necessarily as what you did before as I am sure like me I went into an office to continue work and reinstate my teaching side. A risk assessment and method statement has to be done by your new/existing employer to make sure that if any changes need to be made i.e. I can't stand for to long that the correct minor adjustments can be made before the start an a new contract of employment is also signed to state that again an example that if time off is required for surgery or related illnesses that it can be taken becaus ethey understand that you have technically already retired. The problems I had was that the Tax affected the other benefits I was getting to a total of 80% IN THE £££ POUND BUT BECAUSE OF the type of jobs I was doing did still earned more than most.

SO, B & Q actually hire retired and "older" people as part of the selling pitch of their products, so walking down the isles and seeing some old guy oe woman with a pencil behind their ear you are more than likely to ask about a product and ask for help which may also lead to purchasing other items?

As long as you at up to it and you are up front with your new/same employer my opinion is go for it and check that its right for you money wise, as the Job Centre can also help with employment prospects. Just as an extra..... If you are over pension age it comes under ATTENDENCE ALLOWANCE WHICH IS SLIGHTLY DIFFERENT. ( NOT KNOWING YOUR AGE)

[releasethemagic]

Although PIP is awarded to people who are working, if you were awarded PIP while you were not working, that has been taken into account in your assessment. You need to report returning to work as a change in circumstances. They may choose to reassess your PIP and they will take into account activities undertaken within the workplace and whether they reflect the ability to carry out the daily living activities and how well you now match the descriptors. For example sitting for long periods of time at a computer, Carrying files and so on.

Your early retirement pension will have rules about whether you can return to work.

Many schemes require a further medical to be undertaken to decide whether the pension should continue.