Late retirement
If you like the idea of taking your pension after your Normal Pension Age, you may be interested in late retirement.
What is late retirement?
Your pension becomes payable without reductions when you reach Normal Pension Age (NPA).
Although, if you’re not ready to retire just yet, you can delay taking your pension right up until your 75th birthday. This is known as late retirement.
How does late retirement affect my pension?
Select your scheme
For local government pension scheme members, your benefits increase every year you delay your pension after the Normal Pension Age (NPA), with calculations based on factors set by the Government Actuary’s Department (GAD). It’s important to remember that you must start taking your pension by your 75th birthday.
Late retirement pension benefit increases are automatically worked out in our online calculators. Get an estimate today by logging in to PensionPoint and visiting the online calculator page.
For every month you delay taking your pension (after NPA), an increase is applied to your benefits – known as an age addition. These increases are calculated using ‘factors’ set by the Government Actuary’s Department (GAD) and can change from time to time, which is something to consider when planning your retirement income. There is also no limit to the amount of pension you can build by continuing to work longer.
However, you must start taking your pension by your 75th birthday, even if you continue to work. Plus, certain benefits must be paid at a certain age (eg your 1992 benefits must be paid at age 60).
For every month you delay taking your pension (after NPA), an increase is applied to your benefits – known as an Age addition. These increases are calculated using ‘factors’ set by the Government Actuary’s Department (GAD) and they do change from time to time, which is something to consider when planning your retirement income.
Also, please be aware that you must start taking your pension by your 75th birthday.
