- My first payslip is confusing
Due to the time needed to set up your pension, we may not always be able to pay you in the first regular payroll run after you retire.
If this is the case, we will pay any arrears due to you on the first payroll run after you have been set up on the payroll system.
Your payslip will show you:
- The gross amount (all the pension you are due since your retirement date) on the left hand side
- Any tax deductions on the right hand side
- The net amount payable (the pension you are owed and less any tax due) at the bottom
If you would like a copy of your payslip in another format such as Braille, large print or another language contact Pensions Services.
- My tax code doesn't look right
We have to apply the tax code supplied to us by HMRC. When we set your record up, if we haven’t received a tax code from HMRC yet we are instructed to use 0T on a cumulative basis.
If you think we have the wrong code, then contact the Tax office.
When you contact HMRC please ensure that you have to hand or quote your National Insurance number and relevant tax reference, which are:
- Scheme description: LGPS
- PAYE reference: 663/ZH310
- I received less this month than previously
This could be due to a recent tax code change. If you would like to query the tax code we hold for you please contact HMRC direct on 0845 3000 627.
- When will I receive my P60?
You will get a P60 after the end of each tax year (usually May), showing you the amount of pension paid and tax deducted during the year. If you have any tax queries, you should address them with HMRC.
- Overseas payments
We use Citibank to pay pensions to overseas bank accounts. If you are interested in this service then please complete a Mandate form.
We need a couple of weeks notice to arrange these payments, as we need to verify the details you have provided with Citibank before we can make any payments to overseas accounts.
Citibank charge a £2.74 administration fee per payment, which is deducted from your net pension as part of the transfer process to your overseas account.
- Pensions increase
Pensions are increased annually in line with the cost of living. They are based upon the rise in the Consumer Price Index to September of the previous year. Pensions increases are determined by the HM Treasury and approved by Parliament. They take effect from April 2018.
The current annual increases are outlined below:
Date pension first payable Increase 24/04/2017 and before 3% 25/04/2017 to 24/05/2017 2.75% 25/05/2017 to 24/06/2017 2.50% 25/06/2017 to 24/07/2017 2.25% 25/07/2017 to 24/08/2017 2% 25/08/2017 to 24/09/2017 1.75% 25/09/2017 to 24/10/2017 1.50% 25/10/2017 to 24/11/2017 1.25% 25/11/2017 to 24/12/2017 1% 25/12/2017 to 24/01/2018 0.75% 25/01/2018 to 24/02/2018 0.50% 25/02/2018 to 24/03/2018 0.25% After 25/03/2018 nil
The first increase that you will receive in the April following your retirement, resignation or death of your spouse or civil partner will be a proportion of the full increase due based on the number of months you have been retired.
If you are under 55, your pension will not be increased until your 55th birthday, unless your retirement was due to ill health or you are receiving a dependant's pension.
- Guaranteed minimum pensions
Your pension increase may be split between your LGPS pension and your State Pension if you have a Guaranteed Minimum Pension (GMP).
The GMP is the minimum pension which a UK occupational pension scheme has to provide for those employees who were contracted out of the State Earnings Related Pension Scheme (SERPS) between 6 April 1978 and 5 April 1997. The GMP amount is broadly equivalent to the amount the member would have received had they not been contracted out. We are notified of the GMP amount by the NI Contributions Office.
All increases associated with the GMP element of a pension were originally paid with the State Pension. From 6 April 1988, occupational pension schemes were required to pay increases (up to a maximum of 3%) with the occupational pension. This change in rules led to a distinction between pre 6 April 1988 GMP and post 6 April 1988 GMP.
All increases due in respect of your pre 6 April 1988 GMP are still paid with your State Pension. Increases up to a maximum of 3% due in respect of your post 6 April 1988 GMP are paid with your LGPS pension (increases above this amount would be included with your State Pension).
If your State Pension is frozen (for example if you live abroad or you have deferred your pension) then please let us know as we will need to ensure that we are paying you the correct increases.
- Relevant information
Tax Office direct number: 0300 200 3300