When will my pension be paid?
Your pension will be paid on the 15th of each month, directly into your bank account by the Bank Automated Credit System (BACS). Except if this falls at the weekend or on a public holiday when payment will be made on the last working day before the 15th.
How is my pension taxed?
- Your pension is taxed.
HM Revenue and Customs (HMRC) set or amend your tax code based on your total income including the state pension and any other income you have.
As we do not set your tax code, all we can do if you question your tax code with us is to suggest that you contact HMRC (0300 200 3300). We're provided with tax codes electronically by HMRC and must apply the tax code advised to us. This means we can't change your tax code and are unable to explain why HM Revenue & Customs (HMRC) has set or amended your tax code.
Your lump sum at retirement paid from us is completely tax-free. Please note that, if your employer has awarded you compensatory added years, the lump sum arising from them could be liable to a tax charge.
Do I get a pay advice slip every month?
You'll get a payment advice slip:
- With your first payment
- Every April advising you of the pension increase
- Every May with your P60
- If you receive an increase in your pension that is more than £5
- If your tax code changes
Your payslips are also available to view on SPFOnline.
Will my pension increase?
Your Public Sector pension increases under the provisions of the Pensions (Increase) Act 1971 and section 59 of the Social Security Pensions Act 1975.
The pension increase each April will be applied from the 6th. If you retired within the last 12 months, you'll receive a partial increase.
April's payment will only include a partial increase, the full increase is then applied in May's payment. You will receive a payslip to confirm. Please note P60's are also issued in May.
If you have noticed that your net payment has reduced, this is most likely due to a change in tax code and you should contact the tax office for further confirmation on 0300 200 3300.
You can view your payment details on your SPFOnline account. If you have not registered for an account please visit our website here and select the sign up option.
Pension Increases are only paid to you once you are aged 55 or over unless you are receiving:
- A pension as a dependant e.g. a widow, widower, civil partner or a child
- An ill-health pension, (if from deferred status, must be permanently incapable), or
- A pension from us but you have since become permanently ill
Can I have my pension paid into an oversees bank account?
If you move abroad and no longer want your pension paid into a UK bank account, you can instruct us to pay your pension direct into an overseas account. Please contact us to request the relevant mandate.
What happens if I become re-employed?
If you are granted early retirement by your employer you can continue to work in a local government authority; however, please note that if you have been granted added years within your retirement package this element of your pension may be affected by re-entering local government employment.
It is advised that you contact the office if you re-join local government employment after your retirement date and we would advise whether this would impact your pension.
If you were awarded Compensatory Added Years on Retirement and you return to work for an employer out with the Local Government Pension Scheme, your compensation pension won't be affected.
Post Retirement Payments
Can I take an additional lump sum from my benefits after I retire?
A lump sum payment can only be taken from your pension after retirement if certain criteria is met, the main one being the total value of your pension being less than £30,000. If you think this applies to you, please contact us by email/writing for further information.
Will my spouse/dependents be entitled to a pension if I die?
On your death your pension entitlement stops immediately, so it's important your spouse or someone else in your family informs us immediately.
In the event of your death your spouse will receive a widow's pension which is payable for life. There would be children's pensions payable to any eligible child who is under the age of 18 and up to the age of 23 if they have remained in full time education. Dependant and Spouses pensions increase in line with the cost of living.
Will be a lump sum be payable on my death?
There will be a death grant lump sum available for up to ten years after your retirement date. You can view what the death grant lump sum would be on your online account.
Death on pension
What is Contracted Out Pension Equivalent (COPE)?
If you ask the DWP for a State Pension Forecast, you may come across the term COPE, Contracted Out Pension Equivalent.
If you were a member of the LGPS between 1978 and 2016, you will have paid less National Insurance (NI) contributions than had you not joined the LGPS.
A consequence of paying less NI is that you are entitled to less state pension.
The amount of state pension that you are not entitled to is called COPE.
Your benefits from the LGPS will be more than COPE.
Amending Personal Details
What happens if I change address?
We are required to have an up-to-date address for all our pension members. It is important to tell us your new address, as we'll stop pension payments if correspondence is returned when we try to contact you.
You can update your address on SPFOnline or alternatively by phone/email/post.
How do I update my bank details?
You can change your bank details on SPFOnline.
You can alternatively complete our change of UK Bank Details form, ensure this form is signed as we require your signature to authorise this change.