Planning Your Retirement - THE LOCAL GOVERNMENT PENSION ...

Final PayThe other important elementused in working out yourbenefits is your final pay.This is usually the pay youpaid pension contributions onduring your final year of Schememembership, one of the previous2 years if higher or, if you suffera reduction or restriction in yourpay after 31 March 2008 andthis reduction/restriction occurswithin your last thirteen yearsof membership, you can electto have your benefits calculatedusing the average of the bestthree consecutive years in thelast ten years using your payas at 31 March of each year.Final pay includes:• normal pay• shift allowance bonus• contractual overtime• Maternity Pay, PaternityPay, Adoption Pay, and• any other taxable benefitspecified in your contractas being pensionableWe don’t include such thingsas car allowances, casualovertime, travelling or subsistenceallowances, pay in lieu of noticeor pay in lieu of loss of holidays.If you work part-time whenyou leave the LGPS, or haveworked part-time in your lastyear of membership, your finalpay is the whole-time paythat you would have received,if you had worked whole-time.If your pay was reduced inthis period because of sickness,your final pay will be the paythat you would have receivedhad you not been off sick.If you received a Certificate ofProtection (issued only up to31 March 2008) from youremployer within 10 years ofretirement because your paywas reduced or increases toyour pay were restricted throughcircumstances beyond your control,then we will work out your finalpay as the best year’s pay in thelast 5 years, or the best 3 yearaverage in the last 13 years.If your pension benefits arecalculated using a previous payperiod to your final year, yourbenefits would be increased byappropriate inflation increases.9