Under the latest round of proposals members of the Teachers Pension will be asked to increases their member contribution to retain their pension benefits
Affecting everyone but Teachers currently receiving £15,000 or less the proposals suggest a banding structure based on their full time salary, similar to the existing Local Government Pension Schemes.
Under the latest round of proposals members of the Teachers Pension will be asked to increases their member contribution to retain their pension benefits
Affecting everyone but Teachers currently receiving £15,000 or less the proposals suggest a banding structure based on their full time salary, similar to the existing Local Government Pension Schemes.
Teachers currently pay 6.4% of their salary as an employee contribution to the pension scheme. Under the changes the highest earners (£112,000 pa and higher) will pick up the greatest change with their contributions increasing by 2.4% to 8.8%
Assuming the 682,000 members of the scheme are evenly spread within each band the net impact will be an overall additional pension contribution from Teachers of £327,000,000 each year
The proposed salary bandings are detailed below
Lower Higher Cont. Increase Members
Salary Salary Rate over 6.4%
2012-13
0 14,999 6.4% 0% 1,400
15,000 25,999 7.0% 0.6% 116,000
26,000 31,999 7.3% 0.9% 117,000
32,000 39,999 7.6% 1.2% 271,000
40,000 74,999 8.0% 1.6% 172,000
75,000 111,999 8.4% 2.0% 4,000
112,000 8.8% 2.4% 600