NASUWT Representatives

www.nasuwt.org.uk87PensionsFull-time and part-time teachers are automatically entered intothe TPS. Teachers will automatically become members oncommencement of a contract of employment unless they optout.From April 2012, the Coalition Government introduced the firststage of contribution increases.Scheme members for 2012/13 contribute as follows:SalaryPercentage of salaryto the TPSUp to £14,999 6.4£15,000 to £25,999 7.0£26,000 to £31,999 7.3£32,000 to £39,999 7.6£40,000 to £74,999 8.0£75,000 to £111,999 8.4£112,000 and above 8.8The contributions receive tax relief at the marginal rate.This is the first stage of three stages of increases set to beimplemented by 2015 to achieve an overall average increase upto 9.6% contribution for the scheme as a whole to save £2.8billion. How this will be achieved in the remaining two stages iscurrently being discussed. No decisions or indication of the sizeor nature of contributions post April 2015 has been made by theGovernment. Along with these contribution increases there areto be many other changes that will be introduced as part of theCoalition Government’s review of public sector pensions.For ‘existing members’ of the TPS on or before 1 January 2007,including those who were out of pensionable service but whoreturned to teaching by 31 December 2007 and teachers whore-entered pensionable service after 31 December 2007following a break of service of not more than five years, thescheme currently provides the following benefits:l a guaranteed pension payable at the normal pension age(NPA) of 60 based on 1/80 of ‘final average salary’ and a taxfreelump sum of 3/80 of ‘final average salary’, multiplied bythe number of years and days of reckonable service;l from April 2011 the pension will be increased each year bythe Consumer Prices Index (CPI) to take account of rises inthe cost of living.For advice and help ˚ Local Association ˚ Regional Centre ˚ National Executive