AVCs – Your choice. Your future.

Your AVC

What's an AVC?

• As a member of the American Express UK Additional Voluntary Contributions (AVC) plan, run with Prudential, you're building up an additional pension fund for when you choose to take your benefits.
• Your Amex AVC plan is not a standalone plan; it is linked to the Amex Defined Benefit scheme.
  
• Your AVCs are invested in funds so they have the potential to grow over time. It also means the value can go down as well as up and you may get back less than you put in. When it comes to choosing where to invest your AVCs, there’s no need to feel overwhelmed. The 'Investment choices' section of this site will take you through your investment options to help you make a decision.
• The size of your Amex AVC plan will depend on your investment choices, the impact of charges, and how well the fund(s) you invest in perform. Even though you and American Express are no longer contributing to the plan, you'll still pay charges.

Managing your AVC

It’s important to regularly review your Amex AVC plan to make sure you’re on track to achieve the lifestyle you want when you stop working.

You can check the value of your Amex AVC plan online or in your Annual Benefit Statement. Your statement will show you many things including:

• how much money you have in your Amex AVC plan
• how your investments are doing
• what you could get when you take your benefits.

If you're not yet registered, you can do this now. 

You can review your plan online even if you're no longer working for American Express. The value of your Amex AVC plan will remain invested and be paid at retirement age in the normal way.

As you approach retirement, please contact Buck, the American Express UK Pension Plan administrator, as they can let you know what options are available. You'll find their details in the 'Contact AMEX and Buck' section of the site.

If you die before retirement, the value of your plan will be paid to your beneficiaries according to the rules of your main scheme pension.

For more information, please read your Key Features document and your Fund Guide which are available online. They have important information about the risks, benefits, costs and charges of the product and funds.

Investment choices

You have a choice of investment options for your Amex AVC plan. It's up to you to decide which investment option is right for your needs. Watch our 'Understanding your investment options' video for more information. These options aren't a recommendation from Prudential. If you're still unsure, speak to a financial adviser.

• To find out about your investment options, go online to find your Fund Guide which gives you more information about the funds available. And if you want more details about a specific fund, have a look at the factsheet at our 'Workplace pension factsheets'.
  
• Don't worry, you can change your investment choice any time in the future.

AVCs are investments so the value can go down as well as up and you may get back less than you put in.

Taking your money

AVCs can be used in a variety of ways so please contact Buck, the American Express UK Pension Plan administrators, as they can let you know what options are available. You'll find their details in the 'Contact AMEX' section of the site.

You've different retirement ages depending on when you joined the plan, although you'll need to take your benefits by age 75. If you joined your main scheme pension before 6 April 2006 and have left American Express, you can take your benefits from age 50. If you joined the main scheme pension before 6 April 2006 and you're still with American Express, you can take your benefits from age 55.

You also have different options for taking your money depending on whether you're a pre-96 member or a post-96 member of your main scheme pension.

The documents below outline how you can access your AVC plan pot depending on whether you're a pre-96 member or a post-96 member. 

Important information

• The tax you pay depends on your individual circumstances and rules can also change.
• You can defer your benefits until later if you wish, although under the terms of this contract you are currently required to take your benefits by age 75.
• When you come to take your benefits you should shop around to find the options and features most suited to your circumstances. Different pension providers offer different products, options or features (including terms, rates, funds or charges) that may be more appropriate for you.


Pension Wise

You should get guidance or financial advice to help you with this decision. Pension Wise is a free, impartial service offered by the UK Government to provide guidance once you reach age 50 to help you understand your options at retirement. Find out more from the Pension Wise website or call 0800 280 8880 to book a phone or face-to-face appointment.