What happens if I work beyond my normal retirement age?
If you continue in employment beyond your normal pension age, you will continue to pay pension contributions. You must however, receive your benefits before your 75th birthday.
Will this affect my pension?
If you draw your pension after your normal retirement age, your benefits will be increased for late payment.
An example showing how your benefits will be increased for late payment is below:
A member reaches their normal pension age on 30 May 2018. This member elected to leave their benefits in the fund until 30 September 2018 (123 days after their normal pension age).
Members benefits at 30 September 2018
Pension/lump sum
| Benefits at 30 May 2018 | |
|---|---|
| Pension | £5,500 per annum |
| Lump sum | £15,500 |
Increase calculation
| Pension/lump sum | Calculation | Increase totals |
|---|---|---|
| Pension | £5,500 x by 123 x by 0.00010 = £67.65 per annum | Total pension: £5,567.65 |
| Lump Sum | £15,500 x by 123 x by 0.00001 = £19.06 | Total lump sum: £15,519.06 |
The amount your pension increases for late retirement is reviewed and updated each year from information supplied by the Government Actuary's Department (GAD).
