What is the Process?
If you are planning to retire voluntarily, the process will usually involve the following steps:
When can I take my pension in full?
Your benefits will be paid in full if you take them at your Normal Pension Age.
For benefits built up from 1 April 2014 onwards, your NPA is linked to your State Pension Age, with a minimum age of 65.
Most benefits built up before 1 April 2014 have a protected NPA of age 65.
What if I take my pension early?
You can choose to take your pension early from age 55 (age 57 from 6 April 2028).
The earlier you take your pension before your Normal Pension Age, the greater the reduction will usually be.
The table below shows the current reductions for benefits taken up to 13 years early.
| Years Early | Pension Reduction | Lump Sum Reduction* |
|---|---|---|
| 0 | 0.0% | 0.0% |
| 1 | 5.0% | 2.0% |
| 2 | 9.6% | 3.9% |
| 3 | 13.9% | 5.8% |
| 4 | 17.8% | 7.6% |
| 5 | 21.5% | 9.4% |
| 6 | 24.9% | 11.2% |
| 7 | 28.1% | 12.9% |
| 8 | 31.1% | 14.7% |
| 9 | 33.9% | 16.3% |
| 10 | 36.6% | 18.0% |
| 11 | 39.0% | N/A |
| 12 | 41.4% | N/A |
| 13 | 43.6% | N/A |
* For benefits built up to 31 March 2008.
Could the 85 Year Rule apply to me?
If you were a member of the LGPS between 1 April 1998 and 30 September 2006, you may have protection under the 85 Year Rule. The rules are complex and the level of protection depends on your individual circumstances.
Read more about the Rule of 85 →
What if I delay taking my pension?
You can choose to delay taking your pension after your Normal Pension Age.
In general, your benefits will increase because they will be paid for a shorter period.
You must take your pension by age 75.
Can I take part of my pension as a lump sum?
When you take your pension, you can usually exchange part of your annual pension for a one-off tax-free lump sum.
Exchanging pension will increase the lump sum you receive at retirement, but it will reduce the annual pension paid to you for the rest of your life.