What is LGPS?

Local Government Pension Scheme
The Local Government Pension Scheme (LGPS) is a valuable part of the pay and reward package for employees working in local government, or working for other employers participating in the scheme.

How does the LGPS work?

The LGPS is a defined benefit scheme which means that your pension will continue to be worked out using a set formula – under the 2014 scheme it’s based on 1/49th x your pay + cost of inflation added (to keep up with living costs). This is worked out every year and added to your pension account.

What type of pension is the LGPS?

Local Government Pension Scheme: an introduction The LGPS is a statutory public service scheme, so the scheme’s benefits and terms are set out in regulations passed through parliament.

Is LGPS pension for life?

The LGPS provides valuable life cover and financial protection for your family. This section looks at the benefits that would be payable if you were to die after you have retired and are receiving payment of your pension.

What is the employer contribution to LGPS?

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

How does pension work in UK?

What is a pension? You put money into your pension each month and, in return, you get a regular income once you’ve retired. You don’t have to pay tax on pension contributions, which is one of the reasons saving into a pension can be more effective than saving for your retirement in other ways.

When can I take my LGPS pension?

age 55 to 75
Your LGPS pension is payable in full from your Normal Pension Age which is linked to your State Pension Age (but with a minimum of age 65). However, you can choose to retire and take your pension from the LGPS at any time from age 55 to 75, provided you have met the 2 years vesting period in the scheme.

How much do government employees get for pension?

The amount of pension is 50% of the emoluments or average emoluments whichever is beneficial. Minimum pension presently is Rs. 9000 per month. Maximum limit on pension is 50% of the highest pay in the Government of India (presently Rs.

Is Lgps a salary sacrifice scheme?

The LGPS has a provision within its regulations to allow an employee to enter into an agreement in which the employer can decide to also contribute to their employee’s AVC arrangement. This is known as a Shared Cost AVC (SCAVC). This could be done under a Salary Sacrifice arrangement.

Can I take my LGPS pension at 55?

Your LGPS pension is payable in full from your Normal Pension Age which is linked to your State Pension Age (but with a minimum of age 65). However, you can choose to retire and take your pension from the LGPS at any time from age 55 to 75, provided you have met the 2 years vesting period in the scheme.

How long does a LGPS pension last?

However, you can choose to retire and take your pension from the LGPS at any time from age 55 to 75, provided you have met the 2 years vesting period in the scheme. If you choose to take your pension before your Normal Pension Age it will normally be reduced, as it’s being paid earlier.

How much does the council pay into my pension?

What do I pay? Your contribution rate depends on how much you are paid but it will be between 5.5% and 7.5% of your pay.