Pension Contributions

You pay 6% of your allowances as a Councillor into the LGPS.  If you pay tax you will get tax relief on your contributions at the time they are deducted from your allowances.  If you pay National Insurance you will pay a lower rate of NI contributions up to State pension age.  Paying lower rate NI contributions means that you do not contribute to the State Second Pension (S2P).  However, the benefits paid to you from the LGPS will be greater than the benefits paid to you from S2P.

Your Local Authority also contributes on your behalf. The amount your Local Authority pays is reviewed every 3 years to ensure the correct contribution rate is being paid.