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About: Frozen Occupational Pension     Goto   Sponge   NotDistinct   Permalink

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A frozen occupational pension (or a preserved pension) is one which has been left behind in an occupational pension scheme by people no longer employed by the sponsoring employer. These pensions are "frozen" until retirement age. This does not mean that the pension is fixed in money terms. In money purchase schemes, the benefit will continue to grow in line with underlying investments. Frequently, if the amounts are small, the member and the scheme administrators lose touch with each other, and as a result the pension is never claimed.