Main Scheme Benefits

The following are the main benefits payable to members of the Local Government Pension Scheme.

On Retirement

A pension for life based on your final pay and membership of the LGPS.
An automatic tax free lump sum based on membership built up to 31st March 2008 with an option to increase that lump sum by conversion of pension built up since 1 April 2008.

The above benefits are payable in a number of circumstances

From age 65
From age 60 (certain conditions apply)
On ill health grounds (enhanced by additional membership in certain instances)
From age 55 (50 in respect of certain protected members) in the event of redundancy or early retirement
From age 55 (50 in respect of certain protected members) with the consent of your employer (certain conditions apply)
By the age of 75 in all cases.

On Death in Service

A lump sum death grant equal to three times your annual pensionable pay is paid to provide immediate financial security for your family. If you have not already done so, you should download and complete an expression of wish form setting out details of your chosen beneficiaries in the event of your death.

Further benefits payable include:

A pension for your spouse, civil partner or nominated cohabiting partner
A pension for your eligible children

Death after Retirement

If you die before the age 75 a death grant equal to 10 times the value of your pension, less any pension already recieved, will be paid to your chosen beneficiaries. Further benefits payable include:

A pension to your spouse, civil partner or nominated cohabiting partner
A pension to your eligible children

Benefits on Leaving the Scheme Before Retirement.

Deferred Benefits - if you have at least 3 months membership (or you have less than 3 months membership but have transferred a previous pension entitlement into the scheme), your benefits will remain deferred in the LGPS and will increase annually in line with inflation until you receive your benefits. Alternatively, you can choose to transfer your pension rights to another pension arrangement.

If you have less than 3 months membership and you certify that you have no other LGPS rights anywhere in England & Wales, your pension contributions will be refunded, subject to adjustments for National Insurance contributions (if you pay them) and income tax at the rate of 20% (regardless of whether or not you have received tax relief on the contributions you have paid).

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