How much does my employer contribute to my LGPS pension?

The average employer contribution to the LGPS is around 19%.

How is LGPS pension calculated?

For membership built up between 1 April 2008 and 31 March 2014 you receive a pension of 1/60th of your final pay as a pension. For membership before 1 April 2008, you receive a pension of 1/80th of your final pay plus an automatic lump sum of three times your pension.

How are pension contributions calculated?

The pension contribution is calculated as a percentage of earnings between the qualifying earnings lower threshold and the qualifying earnings upper threshold.

What is the basic pension contribution?

The minimum contributions that you must pay into your staff’s pension scheme are shown in the table below – they’re currently a total contribution of 8% with at least 3% employer contribution. You will usually pay pension scheme contributions either as a fixed amount or based on a percentage of earnings.

Can I pay more into my LGPS?

There are two ways you can pay extra contributions in the LGPS. You can pay Additional Pension Contributions, Additional Voluntary Contributions or both. You can also pay extra outside of the LGPS to increase your retirement income.

How much do I need to pay into my pension?

Take the age you start your pension and halve it. Then put this % of your pre-tax salary into your pension each year until you retire. So someone starting aged 32 should contribute 16% of their salary for the rest of their working life.

Does LGPS get State Pension?

Can I still receive a state pension if I am a member of the LGPS? There are currently two parts to the state pension; the basic state pension and the additional state pension. You will qualify for a basic state pension if you’ve made enough national insurance contributions in addition to your pension from the LGPS.

Will local government pensions increase in 2021?

Active pension accounts, deferred pensions and pensions in payment are adjusted each April in line with inflation. The rate of inflation, as measured by the Consumer Prices Index, was 3.1% in September 2021. This is generally the measure that is used to increase LGPS pensions the following April and we…