How much will I Pay?

The Local Government Pension Scheme (LGPS) is provided to you by your Employer, who then pays the bulk of the cost of your benefits. How much it costs you depends on how much you are paid, but it will be between 5.5% and 12.5% of your pensionable pay under the MAIN Section of the Scheme.

The rate you pay depends on which pay band you fall into, which will be based on your actual pensionable pay. However, the amount you actually pay is far less than you think because you attract tax-relief on the contributions that you pay. (Please note that any contractual or non-contractual overtime that you undertake will be deemed as pensionable).

You also have the option to reduce your normal contribution rate by half, to build up half the level of pension in the scheme during this time; which may be a better option than having to opt out of the scheme altogether. This is known as the 50/50 Section of the scheme.

Contribution Arrangement for 2024/25

Your Actual Pensionable Pay Rate of Contribution for the MAIN Section Rate of Contribution for the 50/50 Section
Up to £17,600 5.50% 2.75%
£17,601 to £27,600 5.80% 2.90%
£27,601 to £44,900 6.50% 3.25%
£44,901 to £56,800 6.80% 3.40%
£56,801 to £79,700 8.50% 4.25%
£79,701 to £112,900 9.90% 4.95%
£112,901 to £133,100 10.50% 5.25%
£133,101 to £199,700 11.40% 5.70%
More than £199,701 12.50% 6.25%