TfL Pension Fund

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Pension payments and deductions

On this page:

Payment dates
Pension increases
Missing pension payments
Living overseas
Changing address or bank
Payslips and P60s
Tax and tax codes
Voluntary deductions

Payment dates

Your pension is paid in advance every four weeks and will be paid directly into your bank or building society account.

Payments are made on a Monday unless it's an English Bank Holiday when it will be on the next working day.

Any retirement lump sum is also paid into your account.

Tax week	Period ending	Pay date
4	23 May 2009	27 April 2009
8	20 June 2009	26 May 2009
12	18 July 2009	22 June 2009
16	15 August 2009	20 July 2009
20	12 September 2009	17 August 2009
24	10 October 2009	14 September 2009
28	7 November 2009	12 October 2009
32	5 December 2009	9 November 2009
36	2 January 2010	7 December 2009
40	30 January 2010	4 January 2010
44	27 February 2010	1 February 2010
48	27 March 2010	1 March 2010
52	24 April 2010	29 March 2010

Pension increases

While you are below State Pension Age, the whole of your pension will increase each April.

It is increased in line with the Retail Prices Index (RPI) inflation over the 12 months ending in the previous September. If you joined after 1 April 1989, your increases are limited to a maximum of 5 per cent.

The annual RPI increase under the Fund cannot fall below zero. The pension increase will be determined over the relevant 12 months. If there is no increase in the RPI, your pension will remain unchanged for that year.

Pension increases are paid in the first pension payment of each tax year. Unfortunately, we can't pay increases sooner as the process can only start at the end of the previous tax year.

Increases at State Pension Age

Once you reach State Pension Age, increases will be paid on the various parts of your pension as follows:

Pension in excess of the Guaranteed Minimum Pension (GMP) (including all pension earned after 5 April 1997)

This part of your pension is increased as described above.

GMP earned between 6 April 1988 and 5 April 1997

This part of your pension is also increased as above, except that the increases are limited to a maximum of 3 per cent each year.

Further increases may be paid by the State.

GMP earned before 6 April 1988

This part of your pension is not increased by the Fund but may be increased by the State. In addition, the Trustees have discretion to approve other increases, subject to the consent of the principal employer.

2009 pension increase

The full pension increase from 1 April 2009 was 5 per cent. This was paid to eligible pensioners on 27 April 2009. If you have been receiving your pension for less than a year you may have received a pro-rata increase as follows:

Effective date	Increase
Up to 1 April 2008	5.0%
2 April 2008 to 1 May 2008	4.58 %
2 May 2008 to 1 June 2008	4.17 %
2 June 2008 to 1 July 2008	3.75 %
2 July 2008 to 1 August 2008	3.33 %
2 August 2008 to 1 September 2008	2.92 %
2 September 2008 to 1 October 2008	2.5 %
2 October 2008 to 1 November 2008	2.08 %
2 November 2008 to 1 December 2008	1.67 %
2 December 2008 to 1 January 2009	1.25 %
2 January 2009 to 1 February 2009	0.83 %
2 February 2009 to 1 March 2009	0.42 %

Adult dependant and children's pension increases

Pensions payable to your adult dependant and eligible children are increased each year in the same way as your pension.

We will continue to pay increases to your pension wherever you live. In addition, if you live in a country in the European Economic Area (EEA) or a country which has a social security agreement with the UK, you will also receive increases on your basic state pension and possibly your GMP from the UK Government.

The countries involved change from time to time as determined by the UK Government. Details can be found on the Department for Work and Pensions' website.

Missing pension payments

If you think that you have not received a pension payment you should first check with your bank. If your bank is unable to locate your payment please contact the Fund Office immediately.

Living overseas

If you live abroad your benefits can either be paid to a bank account in the UK or direct into an overseas bank account using the Transcontinental Automated Payment System (TAPS). There is a small charge for each overseas transaction. Your bank may also charge a fee for conversion to local currency.

Changing address or bank

You can advise the Fund Office of a change of address using Member Self Service, by completing the relevant form, or by letter or telephone.

Changes of bank must be made in writing or by completing the relevant form. Please note that your pension can only be paid into an account in your name. Change of bank account details should be provided at least 15 working days before your next payment is due.

Please note that due to the large volume of changes received, only changes to bank accounts are acknowledged.

Payslips and P60s

You will receive a payslip for your first pension payment. After that, you will receive a single annual payslip at the start of each tax year. This will provide you with information on:

Your pension increase
Your predicted four-weekly pension for the year
Pension pay dates
Your P60

If you require information regarding your expected annual pension in advance of receiving your annual payslip, for the purposes of any State benefits that you may receive, please contact the Fund Office.

If your net pension changes by more than £5 compared with the previous pay period you will normally receive an additional payslip. On Week 8 of any tax year your net pension is compared with the predicted four-weekly figure quoted in the annual payslip.

Duplicate annual or additional payslips can be provided by the Fund Office if needed. HM Revenue and Customs (HMRC) does not allow us to produce a duplicate P60 but we can give you a letter with your P60 details for any tax year. All your payslips, including those we do not send to you, can be viewed online using Member self-service.

Example of annual payslip (PDF 242KB)

Example of additional payslip (PDF 237KB)

Tax and tax codes

Living in the UK

Your pension is treated as earned income and will be taxed under the PAYE system, just as your salary was while you were working. HM Revenue and Customs (HMRC) will advise both you and the Fund Office of the correct tax code to be used.

Retirement lump sums are tax-free under current legislation.

A P60 will be included in your annual payslip to help with your tax return.

The Fund is not authorised to deal with enquiries about tax matters and all enquiries should be referred to HMRC Taxes at:

Sefton Area Service
The Triad
Stanley Road
Bootle
L75 1HW

Telephone: 0845 300 3939

If you contact the HMRC, you will need to tell them:

Your National Insurance number
The Fund's reference - 083/LT7

Living overseas

You will normally be taxed according to the tax laws of the country where you live. You may be able to choose to be subject to UK tax, but you should check with HMRC Financial Intermediaries and Claims Office, which can be contacted at:

Inland Revenue International
Centre for Non-residents
Fitz Roy House
PO Box 46
Nottingham
NG2 1BD

Telephone outside UK: + 44 151 210 2222
Telephone inside UK: 0845 070 0040

Further information about tax

For more information about tax matters, please visit the HMRC website.

Voluntary deductions

If you are interested in contributing to one of the following organisations, deductions can be made from your pension:

Hospital Savings Association
Hospital Saturday Fund
Simply Health
Give As You Earn

Further details are available from the Fund Office.

It is not possible to make deductions for other organisations, so if you want to contribute to an organisation which is not listed above you will need to contact them direct.