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Retirement
Benefits Payable at Retirement
Benefits payable at Retirement
If you were a member of the scheme 1995 Section you will receive a pension and a retirement lump sum based on your final years’ pensionable pay. The pension is 1/80th of your final year’s pensionable pay for each year of pensionable service in the scheme. Part years will also count towards your Pension.
Your pension is calculated as follows: Reckonable Pay x Pensionable Service x 1/80
Your retirement lump sum is normally three times the Pension
Example A midwife retires after 28 years and 173 days Pensionable Service with a Final Year’s Pensionable Pay of £25,650.Her Pension is£25,650 x 28.474 x 1/80 = £9,129.48 per yearHer Retirement Lump Sum is approximately 3 x pension, or £25,650 x 28.474 x 3/80 = £27,388.43 |
If you are a member of the scheme 2008 Section you will receive a Pension based on Reckonable Pay. The pension is 1/60th of your Reckonable Pay for each year of Pensionable Service in the Scheme. Part years will also count towards your Pension. You will also have the choice of taking a Retirement Lump Sum and having a reduced annual pension.
Your Pension is calculated as follows:
Reckonable Pay x Pensionable Service x 1/60
If you choose to take a Retirement Lump Sum you have to give up some of your Pension. You will receive £12 Retirement Lump Sum for every £1 of Pension you give up. The amount of lump sum you can receive is limited to 25 % of you total Pension Value.
Example A midwife retires 28 years and 173 days Pensionable Service with Reckonable Pay of £25,650.Her Pension is £25,650 x 28.474 x 1/60 = £12,172.62 per yearShe decides to take a Retirement Lump Sum when she retires. She receives £12 of lump sum for every £1 of Pension she gives up so chooses to give up £1,500 of her annual Pension to get a Retirement Lump Sum of £18,000.Her benefits are now;Pension£12,172.62 - £1,500 = £10,672.62 per year Retirement Lump Sum£18,000 |
Further information regarding benefits payable at retirement and the options regarding Retirement Lump Sum is available in the 1995 Section and 2008 Section Members Guide available in the Forms and Guides section of the website.
Age
WHEN CAN I RETIRE?
For most scheme members, the minimum age at which pension will normally be paid is 60. In certain circumstances, you can get your pension on retirement before that age. For those members who join from 1 April 2008 Normal Pension Age is 65.
Members of the special classes have special retirement rights.
scheme fact
Your preserved Pension is calculated in the same way as your normal retirement Pension but is based on your Pay and Service details at the time you leave. Preserved benefits are normally paid when you reach your Normal Pension Age, 60 or 65 depending which section you are in. 
Premature Retirement
WHAT IF I RETIRE PREMATURELY?
If you are retired prematurely, i.e. before normal retirement age and your employer certifies your retirement to be due to redundancy or in the interests of the efficiency of the service, you may be able to apply for early payment of your benefits from the scheme.
For more information on Premature retirement following the Pension Reforms please consult the Factsheets available in the Forms and Guides section of the website.
Ill Health
WHAT IF I BECOME TOO ILL TO WORK?
If you become too ill to continue working in your present job until you reach normal retirement age, you may be able to retire early. An application to retire early because of ill-health should be made to your employer. The application must be supported by medical evidence and you may have to have a medical examination by SPPA's medical advisers.
For more information on Ill-health retirement following the Pension Reforms please consult the Factsheets available in the Forms and Guides section of the website.
Voluntary Early Retirement
VOLUNTARY EARLY RETIREMENT WITH EMPLOYERS CONSENT
This facility has been removed for existing members from 1 April 2008. Therefore no members will be able to take voluntary early retirement with employers consent after 31 March 2008. 
VOLUNTARY EARLY RETIREMENT ON REDUCED PENSION
WHAT IF I WANT TO RETIRE EARLY?
You can choose to take voluntary early retirement, from age 50 for members of the amended arrangements (1995 Section) and age 55 for members of the new arrangements (2008 Section), and receive a reduced pension (tables below detail both Pre and Post April 2008 estimated reductions). Your benefits will be reduced to cover the extra cost of being paid for a longer time. The same reduction will apply to those members of the special classes who retire before age 55 (for members of the amended arrangements only).
Your dependants will still get any benefits they are entitled to in full. In the unlikely event that your reduced pension is less than the Guaranteed Minimum Pension, you will not be able to take voluntary early retirement with a reduced pension. |
'The benefits payable will vary depending on your age.' |
The following tables are a guide to the proportion of benefits payable if you retire early. The benefits payable vary between the exact ages shown.
PRE APRIL 2008 (members of 1995 Section) |
POST APRIL 2008 (members of 2008 Section) |
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| AGE | PENSION | LUMP SUM |
|
AGE | PENSION | |
|---|---|---|---|---|---|---|
| 59 | 95 % | 97 % | 64 | 94 % | ||
| 58 | 90 % | 94 % | 63 | 88 % | ||
| 57 | 85 % | 90 % | 62 | 83 % | ||
| 56 | 80 % | 87 % | 61 | 78 % | ||
| 55 | 76 % | 84 % | 60 | 74 % | ||
| 54 | 73 % | 82 % | 59 | 70 % | ||
| 53 | 69 % | 79 % | 58 | 66 % | ||
| 52 | 66 % | 76 % | 57 | 63 % | ||
| 51 | 63 % | 74 % | 56 | 59 % | ||
| 50 | 60 % | 71 % | 55 | 56 % | ||