How is it worked out

Hawkey99 · Post by **Hawkey99** » 11 Dec 2016, 15:08

I understand our pension is roughly what is on our annual statements. I am a Section C member

However how is it exactly is the pension worked out. By this I mean I have heard various stories about it being the highest earning year out of your last 3 and various other stories of how the figure is come to.

Does anybody have any idea and where I can find this information.........

Thanks

Post by **RobertT** » 11 Dec 2016, 19:04

Look in the library section of the pension website, it has a whole host of guides which give lots of info.
This is a link to the Section C library: http://www.royalmailpensionplan.co.uk/s ... an/library" onclick="window.open(this.href);return false;

jetblack · Post by **jetblack** » 12 Dec 2016, 20:07

"Final pensionable pay –

This is used to calculate your pension benefits that relate to your service before 1 April 2008 and the lump sum benefit paid to your dependants if you die while still working for the Company. It is either:
1) Your highest pensionable pay for any calculation year during the last three years of your reckonable service, ending on your last day of reckonable service;

or, if greater

2) The highest average of your pensionable pay in any three consecutive tax years in the last 10 years before you leave service, take your benefits or die."

In other words, if you are on a 0.75 contract, try to get it bumped up to full time for a 12 month period sometime during the last 3 years before you retire !!!