Tom's pension

If Tom takes his LGPS benefits at age 67
 
In this example Tom does not anticipate any promotions between now and when he hopes to retire when his state pension is payable at age 67. 
 
His protected final salary pension would therefore be actuarially increased as Tom will be taking it 2 years after his protected NPA of 65.
 
The table below shows the how different pay increases for the Final Salary portion and inflation for the career average post 2015 pension would affect the amount of pension paid. 
 
Assumed Annual Pay/Inflation Growth
1%
2.5% 4%
Final Salary Pension*  (4 years) £884 £1,187 £1,587
LGPS 2015 Annual Pension (21 years)
£5,999 £6,294 £8,038
Total Annual Pension 
£6,883
£8,111
£9,625
Comparison - if pension remained for 25 year as Final Salary pension*
£5,525 £7,420 £9,921
 
+/- Difference +£1,358 +£691 -£296
*As these benefits are shown at age 67 (2 years after the protected NPA of 65) they include a 10.22% enhancement

back to examples