I have had a reduction in pay in the last 10 years – How will this effect my pension?
Final pay is normally the pensionable pay earned in the 365 days immediately preceding your retirement date, or one of the previous two years pensionable pay whichever is the higher figure. If part-time (less than 37 hours a week and/or term-time only), the figures used in the pension calculations are uprated to that of full-time equivalent pensionable pay. If your hourly rate has dropped within the last 10 years, benefits may be calculated differently because your pensionable pay has decreased. Final pay may be calculated on the average of any 3 consecutive years in the last 13 years (ending on a 31st March) after allowing for inflation. If you think this may apply to you please let Devon Pensions Services know, before you leave. This option cannot apply once you have left. Please see the reduction in Final pay leaflet (132KB – pdf help) for more information.
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