How much does it cost?

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Contributions are based upon your earnings. From 1 April 2014 your pensionable pay includes non-contractual overtime and additional hours. This is the amount you pay pension contributions on and the amount your pension benefits are based on.

Once an employer has identified your earnings, they will be assessed against a table of banded earnings that will determine the contributions that should be paid. This table is updated every three years.
 
If your pay changes during the year, due to a promotion for example, an employer may decide to review your contribution rate, as it is based on your pensionable pay or they may decide to review this at the end of the scheme year. 

 

The contribution table from April 2015 is shown below:

 

If your pay is:

Main section

50/50 section

Up to £13,600

5.50%

2.75%

£13,601 to £21,200

5.80%

2.90%

£21,201 to £34,400

6.50%

3.25%

£34,401 to £43,500

6.80%

3.40%

£43,501 to £60,700

8.50%

4.25%

£60,701 to £86,000

9.90%

4.95%

£86,001 to £101,200

10.50%

5.25%

£101,201 to £151,800

11.40%

5.70%

£151,801 or more

12.50%

6.25%

 
 
 
To find out how much you will pay in contributions, there is a Contributions Calculator available

 
 

How much does my employer pay?

All employers who are paying into the LGPS have a different contribution rate. Every three years an independent actuary calculates how much your employer should contribute to the Scheme to pay the balance of the cost of providing your benefits in the LGPS. The amount will vary, but generally you contribute approximately one third of the Scheme's costs and your employer contributes the remainder.
 

  


 For more information see the 'LGPS 2014 Leaflets and Guide' tab on the left hand side