Contributions

How much do I contribute?

You contribute 5% of your Pensionable Pay. The actual cost to you is less because contributions are deducted from salary before tax is calculated, so they generate tax relief at your highest rate.

You also pay reduced National Insurance contributions because the Fund is contracted-out of the State Second Pension.

What if I work part-time?

You contribute 5% of your pro-rated Pensionable Pay.

When will my contributions stop?

Your contributions will usually change at the beginning of each year (normally the first pay day after 14 January) and are based on your Pensionable Pay in the previous November. Your contributions will remain the same for the calendar year unless your working hours change, in which case the contributions will be based on your pro-rated Pensionable Pay following each change.

When do my contributions stop?

Contributions stop when you retire or leave service. While you remain in service they will only stop if:

You complete 40 years' Pensionable Service
You reach age 65
You opt out of membership

How much does my employer pay?

Your employer makes contributions to meet the balance of the costs of the Fund. The Actuary regularly looks at funding levels and advises on how much each employer should contribute, so the amount can vary. The Fund is currently in deficit and, to remedy this, the Principal Employer is paying six times the amount its employees pay. All the other Participating Employers are paying additional contributions over a period of ten years, as well as paying more than three times the amount their employees pay.

You can find full details in the Trustees' Annual Report and Accounts, which can be found in the Fund documents section. It is published each September and covers the year up to the previous 31 March.

Can I increase my contributions?

You can increase your contributions by joining the Additional Voluntary Contributions Plan.