This is a fraction which shows the rate you build up pension benefits, for example 1/60, 1/80, or 1/49.
So, a 1/60 accrual rate means you build up a sixtieth of your pensionable salary for each year you’re in the LGPS.
The lower the bottom number, the better the pension benefit you will receive for the same amount of pensionable service.
Extra contributions you can make to your pension pot to help increase what you might get. You can do this through Aegon.
The Government brought in the ‘automatic enrolment’ rules to encourage people to save for later life through a workplace pension scheme. Employees must place workers into the scheme automatically and also pay a minimum contribution.
This is a person you have entered into a civil partnership with, regardless of their gender.
We work out your benefits when you leave the LGPS, based on the amount of membership you have built up and your pay when you leave, in the same way as for retirement.
Your benefits then stay in the LGPS, where they will increase every year in line with the cost of living until you start to receive them.
To qualify for benefits following your death, a child must be:
- a natural child born before, on or within 12 months of your death
- an adopted child born before or on your date of death
- a step-child or a child you had accepted as a member of the family who depended on you at the date you died.
A child you sponsor through a registered charity does not qualify for benefits.
The child can receive benefits while they are:
- under age 18, or
- aged under 23 and in full-time education or vocational training. (It doesn’t matter if they have had a break from this education or training), or
- under age 23 and unable to work in ‘gainful employment’ because of physical or mental disability, or
- over age 23, and still dependent on you because of permanent physical or mental disability. An independent doctor must confirm whether this disability is likely to be permanent.
Gainful employment means paid employment for at least 30 hours a week, over at least a year.
Normally this means the pensionable pay you received in your last year before leaving.
Gainful employment means paid employment for at least 30 hours a week, over at least a year.
Although there is no legal definition of living together, it generally means to live together as a couple without being married or in a civil partnership.
A co-habiting partner only qualifies for a pension if you have paid into the LGPS since 1 April 2008 and your partner can prove that the following conditions applied for at least two years running up to the date of your death:
- You were both free to marry or start a civil partnership with each other.
- You were living together as if you were a married couple or civil partners.
- Neither of you has been living with someone else as if married or in a civil partnership.
- They were financially dependent on you, or you both relied on your joint income.
Membership is used to work out your benefits and is based on how long you’ve been a member of the Scheme, plus any extra membership. For example, any money you transfer in from another pension scheme.
Normal Pension Age is the age you can take the pension you have built up from April 2014 in full. Your NPA in the LGPS is linked to your State Pension Age (SPA) with a minimum of age 65. You can check your NPA by looking up your current SPA at www.gov.uk/calculate-state-pension.
‘Partner’ can mean your husband or wife, civil partner, or a co-habiting partner (who meets certain conditions – for example, they rely on you financially or on your joint income).
You are part-time if you work anything less than the number of hours your employer classes as standard full-time hours.
This is the amount of pay you pay contributions on. It includes the pay you receive for overtime and any extra hours on top of your contractual hours.
If you were in the LGPS before 1 October 2006, the ’85-year rule’ may apply to your benefits.
If your age and length of service in the LGPS (in whole years) add up to 85 or more, you may be able to take some or all of your benefits before Normal Pension Age without a reduction for early payment.