Frequently asked questions

New joiners

What do I pay?

If you are in ERBS, your contribution is 6.25% of your gross pensionable pay and the University currently pays 19% contribution for you. If you are in USS, your contribution is 7.5% (for members of the Final Salary Section) or 6.5% (for members of the Career Revalued Benefits Section) of your gross pensionable pay and the University currently pays 16% contribution for you. You will get tax relief on the contributions you pay and also pay less National Insurance.

Do I have to join?

Membership in each pension scheme is automatic unless you choose to opt out. If you do not want to join, then you will need to contact the Pensions Office for a form to opt out, this is best done within the first few weeks of your employment at the University so that no deductions are taken from your pay. However, you can choose to opt out later if you wish.

Can I join at a later date?

If you have decided not to join straight away, or opted out before, you can always ask to join ERBS or USS at a later date. You will be asked to complete a medical questionnaire for the life assurance benefits and a joiner form. For USS you may be asked to pay extra as you joined later, but you will be advised of this at the time.

Can I transfer in benefits from an old scheme?

USS will investigate a transfer of benefits. You will need to complete a form to start the investigation.  Service will be offered to you in exchange for the transfer value from your old scheme. If your benefits are with an employer who takes part in what is called the Transfer Club, then you could be offered like for like service. However, you must request a transfer of these benefits within 12 months of joining USS. Forms for a transfer can be obtained from the Pensions Office they can be found in the back of the USS scheme booklet.

The option to transfer-in previous benefits from another scheme is not available under ERBS.

Currently in a scheme

Can I pay extra to increase my benefits?

Yes, you can pay what is called Additional Voluntary Contributions (AVC) for both ERBS and USS. You can pay up to  an extra 15% of your pay, this will purchase you extra service in the scheme by way of years and days. For USS you can also choose to pay extra into a money purchase AVC arrangement with the Prudential; the amount you can pay to this scheme can be up to 80% of your pay and builds you a fund which you can swap at retirement for extra pension in USS or in some cases could be taken as a tax free cash sum. A quote for AVC payments can be obtained from the Pensions Office.

What happens if I go part time?

ERBS and USS calculate benefits based on full time equivalent service and salary, so any part time service will be pro-rated up to a full time amount as will your part time salary.  For example, if you reduce to 50% of full time for 5 years and get a part time salary of £10,000 per annum, your pension will be based on a full time equivalent service of 2.5 years and a salary of £20,000 per annum. The total amount of part time and full time service will be added together to give your final pensionable service figure when you retire.

I am going on maternity leave, what happens to my pension?

Please visit the pensions pages on Parents, carers and other leave for more details.

What happens if I leave the University?

Depending on how long you have been in the pension scheme, you will have various choices as to what happens to your benefits. If you have less than two years' membership you can ask for a partial refund of the contributions you have paid into the scheme or leave the benefits in as a frozen pension to collect at normal retirement age. If you choose this option, you could then possibly transfer the benefits to your new employers scheme if they have one. If you have more than two years' service the refund option is removed, but you can still choose between a frozen pension or a transfer out to a new scheme.

Retirement

Can I retire early?

Current pension scheme legislation allows you to enquire about early retirement if you are 55 or above.

If you are a member of ERBS then you can, with the agreement of the University and the consent of the Trustees of the scheme, receive your pension benefits from age 55. The benefits will be calculated using the service you have completed in the scheme up to the actual date of retirement, and the benefits will be actuarially reduced for taking them early. Currently you can take your pension benefits from age 60 with the agreement of the University; in this case your basic pension benefits would not be actuarially reduced. Please note however, if you had transferred in some benefits from an old scheme or were paying Additional Voluntary Contributions, the pension provided by these benefits would be reduced for early payment. Further information can be obtained from the Pensions Office.

If you are a member of USS and wish to retire before age 60, you can only do so at the request of the University. You will need to have a discussion with your Manager and HR Business Partner before any decision can be made. If you are over 60 at 1 October 2011 and have 2 years in USS you can, under the current scheme rules, take your pension benefits using the service that you have completed up to your retirement date without any penalty being applied to them. If you are interested in early retirement, it is strongly advised that you contact the Pensions Office in the first instance to discuss your situation, obtain any quotes and to be informed of the scheme rules as they affect your request. Further information can be found in Factsheet Nine on the USS website.

When can I retire?

Normal retirement age for both ERBS and USS is your 65th Birthday.