Recently, we had a member contact us to help claim their teacher pension.
They said:
“I have been through the process of retiring from my teaching job as I reached 60 this year. I wanted to claim my 80th final salary pension and then be reappointed by my school as I am not ready to retire yet.
“This process has been incredibly challenging and I have given Teacher Pensions feedback about this via a review that they requested from me. I am informing you about my experience in the hope that you can communicate with all teachers approaching or even past 60 so they can claim what they are entitled to and will not lose money.”
As a teacher it should be pretty easy to get your pension when you retire, after all most teacher’s pensions are managed by Teachers’ Pensions. The easiest way to find out about your pension entitlements is to log on to Teachers’ Pensions and check your records.
But rule changes over the past few years have meant that you need to keep an eye on what’s going on and members have been in touch with us to help them to navigate through it.
Career Average Scheme
If you have pension benefits in the Teachers’ Pensions career average scheme, your normal pension age (NPA) is probably the same as your state pension age. (This is the age at which members can apply for their full (unreduced) pension benefits.)
Final Salary Schemes
However, if you also have pension benefits in the final salary scheme, these benefits are protected – they remain in the final salary scheme, and because of this they retain the pension age that they had. This might be age 60 or age 65 depending on the scheme. Your Teachers’ Pensions benefits statement on MyPension Online will confirm your NPA for all your Teachers’ Pensions benefits.
Because of the varying pension ages Teachers’ Pensions retirement benefits are not paid automatically. If you want to receive your pension you must apply through Teachers’ Pensions.
It gets a bit complicated
If you want to receive the pension benefits from your final salary pension (at age 60 or 65) but you want to continue working, it gets a bit complicated and we recommend you speak to us for advice. This is because there has to be a formal break in your employment of at least one day. It is also vital that you speak to your Head Teacher to arrange this.
To take your final salary benefits, you have to end pensionable employment and complete and submit the AGE Retirement application form (around 6 months before your proposed retirement date). You will be able to take your full final salary benefits, and the application form will offer you the choice to either take your career average benefits at the same time or leave them till a later date.
Many members choose to take their full final salary benefits because this means you could receive significant pension income from 60 (or 65) for you to spend as you choose rather than it only increasing in line with inflation. So, it is definitely worth checking if this applies to you!
If you choose to take your career average benefits early they will be reduced if taken before your NPA.
Also, if you are eligible for Transitional Protection, Teachers’ Pensions will send you information about your options once they have received your application form.
Beware
If you are being re-employed in a teaching role that makes contributions to the Teachers’ Pension Scheme after taking your full final salary benefits, you must have at least one full day’s break between the end of your pensionable employment/retirement date and the beginning of your re-employment. This would have to be under a new contract, and there is a limit to how much you are allowed to earn in any 12 month period.
Join the union for teachers today
At Community, we’re working together with thousands of members working across the teaching profession to campaign and secure the pay and recognition that all teachers deserve, as well as tackle the recruitment and retention crisis affecting the sector.
If you are a member of Community and need advice or support, please contact our Service Centre at help@community-tu.org or on 0800 389 6332.
© Community Trade Union 2024