Your statement is a snapshot of your pension benefits as at the 31st of March of the year in question. If you hold benefits prior to April 2014, these are calculated on a final salary basis using your pensionable service and salary. From April 2014, your benefits are calculated on a Career Average Basis. You can find more information on how your benefits are calculated at https://www.lgpsmember.org/your-pension/paying-in/how-your-pension-is-worked-out.

The statement also provides a projection based on you leaving the scheme at the Normal Pension Age (NPA) which is in most cases is linked to your State Pension Age. The figures do not show any reductions that would apply to your benefits if you were to take your pension early and do not include any divorce or tax charge debits applied to the pension.

Pension (per year) – this is a projected annual pension you would receive if were to retire on your current salary and pension contributions at Normal Pension Age (NPA).

Lump sum – this can be adjusted to best suit your circumstances and can be a tax-free lump sum payment but subject to HM Revenue and Customs limits. Increasing your lump sum with decrease your annual pension amount.

Death Grant – Your LGPS membership gives you important life cover as a benefit of the scheme. This section shows you what your death grant lump sum would be if you were to die in service. Please remember while Active members keep your employer up to date with this information. If you are a deferred or retired member please contact us.

Adult Survivor Pension (Per year) – this is what any Death grant nominated person will receive per year.

 


Final Salary – this shows the amount of pension that has been paid in after the 1 April 2014 under the CARE scheme

If you were a member of the Final Salary Scheme this box will be display the pension paid into that scheme here.

 


In the yellow box it shows the calculations used to get to a total pension amount

Lifetime allowance – This deals with the tax implications of your pension and tells you how much of your lifetime allowance your current pension used. For most people the amount used will not be anywhere near the HM Revenue and Customs limit. If you feel you are getting close to the limit you may wish to take an independent financial advice about the options. Please note Teesside Pension Fund cannot give financial advice.

 

ABS 2022 Example
ABS 2022 Example