%
Assessing
your rate
of
contributions
What are
these
changes
costing
me
The average contribution rate across all funds will
remain at 6.5%, however one important change to
note is the way part time members will have their
contribution rate assessed. Contribution rates will
be determined by actual pay and not whole time
equivalent pay. This could mean many of our part
time members will pay less.
The following table shows the 9 different
contribution bands rating between 5.5% and 12.5%.
Pay bands will be increased every April in line with
the Consumer Price Index rate of inflation.
BAND
In general it will be the higher paid members of the
Scheme who will contribute more.
Pensionable Pay Contribution
2014/2015 Rate
1 Up to £13,500
5.5%
2 Above £13,500 up to £21,000
5.8%
3 Above £21,000 up to £34,000
6.5%
4 Above £34,000 up to £43,000
6.8%
5 Above £43,000 up to £60,000
8.5%
6 Above £60,000 up to £85,000
9.9%
7 Above £85,000 up to £100,000 10.5%
8 Above £100,000 up to £150,000 11.4%
9 More than £150,000
12.5%
If your pay changes during the year, your employer
may decide to review your contribution rate. If this
results in a change to your contribution rate, they
will let you know.
However, one thing that hasn’t changed is you
will still continue to receive tax relief on your
pension contributions and pay a lower rate of
National Insurance. To achieve this, your pension
contributions are deducted from your pay before you
pay F