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Is my company pension going up 3% this year?
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windermeredave
- EX ROYAL MAIL
- Posts: 265
- Joined: 08 Mar 2010, 13:37
- Gender: Male
Is my company pension going up 3% this year?
I had notification that my state pension is going up 3% this year in line with last Septembers inflation figures. can someone provide information if the company pension follows the same guidelines?
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rogersh
- MAIL CENTRES/PROCESSING
- Posts: 1373
- Joined: 26 Oct 2011, 11:31
- Gender: Male
Is my company pension going up 3% this year?
The following applies to the Local Government Pension Scheme (LGPS)
The pension increase for 2018 will be 3%. There was no increase to pensions in April 2016, as the Consumer Prices Index for the 12 months to September 2015 fell by 0.1%. LGPS pensions did not go down from April 2016 despite the UK being in deflation.
Further information on other pension schemes;
https://www.pensionsadvisoryservice.org ... -increases" onclick="window.open(this.href);return false;
The pension increase for 2018 will be 3%. There was no increase to pensions in April 2016, as the Consumer Prices Index for the 12 months to September 2015 fell by 0.1%. LGPS pensions did not go down from April 2016 despite the UK being in deflation.
Further information on other pension schemes;
https://www.pensionsadvisoryservice.org ... -increases" onclick="window.open(this.href);return false;
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windermeredave
- EX ROYAL MAIL
- Posts: 265
- Joined: 08 Mar 2010, 13:37
- Gender: Male
Is my company pension going up 3% this year?
OK, in summary I retired Christmas 2016. I`m 66 now, but it bit worried about the pension I earned before 1st April 2016, it tells me anything I earned after that date will be paid CPI. but anything before that is paid by the government. I`m wondering if they are obliged to increase it at all? can anyone in the know translate the following into English for me please?
The rules about pension increases are complicated because there are different legal requirements, particularly once you reach age 60 (for women) or age 65 (for men). As well as the information here, there is a short guide ‘Your pension payments and increases’ summarising how your pension will increase, you can find it in the Library
The RMPP is responsible for paying increases on that part of your pension built up from 1 April 2012. This part of your pension will increase each year in line with inflation, as measured by the ‘Consumer Prices Index’ (which is the measure currently required for increasing pensions). This does not change because you reach a certain age or because you reach your State Pension age at a particular date.
The part of the pension you earned up to 31 March 2012 is paid by the RMSPS. The RMSPS is solely responsible for paying increases on this part of your pension until you reach age 60 (for women) or age 65 (for men). Until this age, the RMSPS part of your pension will increase each year, in line with inflation, as measured by the Consumer Prices Index.
Once you reach age 60 (for women) or age 65 (for men), the requirements for pension increases change for some members – and the Government may be responsible for paying you a bit more in your State Pension, in place of the RMSPS paying increases on a certain part of your RMSPS pension.
This will only affect that part of your pension paid from the RMSPS and only if you were an active member (contributing to the Plan) between 6 April 1978 and 5 April 1997. This is because part of your pension will be ‘Guaranteed Minimum Pension’ (‘GMP’). See ‘What is Guaranteed Minimum Pension (GMP)?’ for more information about GMP.
The rules about pension increases are complicated because there are different legal requirements, particularly once you reach age 60 (for women) or age 65 (for men). As well as the information here, there is a short guide ‘Your pension payments and increases’ summarising how your pension will increase, you can find it in the Library
The RMPP is responsible for paying increases on that part of your pension built up from 1 April 2012. This part of your pension will increase each year in line with inflation, as measured by the ‘Consumer Prices Index’ (which is the measure currently required for increasing pensions). This does not change because you reach a certain age or because you reach your State Pension age at a particular date.
The part of the pension you earned up to 31 March 2012 is paid by the RMSPS. The RMSPS is solely responsible for paying increases on this part of your pension until you reach age 60 (for women) or age 65 (for men). Until this age, the RMSPS part of your pension will increase each year, in line with inflation, as measured by the Consumer Prices Index.
Once you reach age 60 (for women) or age 65 (for men), the requirements for pension increases change for some members – and the Government may be responsible for paying you a bit more in your State Pension, in place of the RMSPS paying increases on a certain part of your RMSPS pension.
This will only affect that part of your pension paid from the RMSPS and only if you were an active member (contributing to the Plan) between 6 April 1978 and 5 April 1997. This is because part of your pension will be ‘Guaranteed Minimum Pension’ (‘GMP’). See ‘What is Guaranteed Minimum Pension (GMP)?’ for more information about GMP.