YouTube video by Ndubuisi 'Andy' Egwim titled "Should I opt out of the NHS Pension 2024?" The speaker highlights disadvantages of the NHS pension scheme: contributions reduce current take-home pay (deducted before tax), which can strain tight budgets, and contributors have limited control over how pension funds are invested compared with private pension options.
There's lower take home pay, so you take less because pension money goes to the pension. By contributing to the NHS pension scheme, you reduce your current take home pay as contributions are deducted from your salary before tax. This could affect your immediate financial situation, especially if you're in it. If you're on a tight budget or have other financial obligations. However, overall you'll pay more tax now and in the future because you'll be losing out on future contributions. Number two disadvantage limited control. Unlike private pension schemes or other investment options like sip, you have limited options of how you can invest your NHS pension scheme. There's lack of control, you don't have a say where it goes and some people prefer to manage their own investments.
