2k a year pay rise = £66 extra a month!

[missbunnyrabbit]

I'm a teacher and was so excited to go the next point on the scale. Checked my pay today, the first pay with my new salary approved on it, to see I get a grand total of £66 extra a month!

2k sounds like such a lot! But it really isn't after everything is taken off.

Am I being ungrateful?

@JinglingHellsBells

Surely also depends on the rate of contribution? Members of TPS pay in about 25% of their gross salary per annum (10% from employee and the rest from the employer). So my contributions and therefore the size of my pension would be more than someone on a higher salary who paid in less.

@Gcandproud You've still got it wrong. Some friends of mine who taught full time for 40 years are now on pensions. They were HofD
or snr roles and earning around £50K . There is no way they are getting £50K pa pension.

I never said I’d get 50k a year and if you read my post above, I said I got your point about inflation (although another poster actually says that TPS staff have advised something different to what you are saying but I am assuming you are correct).

I have done another calculation on the basis that I have 38 years service and am about to retire (next month) on my current salary of 51k. That projects about 20k income and 106k lump sum (25%). I also did an about to retire calculation where I estimate my final salary to be 75k (which it would be if I was promoted to prof or a senior leadership role, which I aim to achieve before I retire and hopefully within the next 10 years) and on that, I’d get 28k income and 190k lump sum (25%) so the latter is probably more in line with what present-day equivalent I will get because it would be unlikely that I’d stay at my present level for another 30 years.

Presumably your friends had a lower average salary across their career than what I am projecting for myself.

My point though (and I have repeated this throughout) is that the TPS is an excellent pension scheme and far superior to most in the private sector and well worth the salary sacrifice while you are younger. I haven’t seen anything from you to suggest this is not the case.

@GCAndProud can I just say that I love to hear women talking about their career goals, so 👏🏻👏🏻👏🏻 and wishing you luck in your senior leadership aims 👍🏻

[quote Cocomarine]@GCAndProud can I just say that I love to hear women talking about their career goals, so 👏🏻👏🏻👏🏻 and wishing you luck in your senior leadership aims 👍🏻[/quote]
Thank you so much @Cocomarine! 🥰

So, given the interests expressed in most posts here - it's not really bout the actual job you do it's all about the Pension and other T&Cs after all.

Factor in that Teachers aren't paid any holiday pay (apparently) then all calculations go completely awry.

@FarmersWife11 you need to start your own thread - you’re buried in pension chat here!

@Goinghome20

Cocomarine well that's your opinion.

I cant live on £6k a year, and state secondary teaching in my 60s will be tough.

But you chose not to work full time? Why on earth should your pension be higher?

@milkysmum

It's like that in nursing- you get all excited to go up to the next point in the pay band- only to not really notice it in your monthly pay. - and go up a band if you are already on top of your current band ( well you might as well not bother half the time 🙄)

This I have just moved from top band 6 to band 7 for the insulting amount of £6 extra a month and will be no change for two years but more clinical responsibility.

@missbunnyrabbit Looking at it another way, you have in fact had a rise of almost 8%.

In the private sector, the people I know who are graduates and are getting performance-related / cost of living annual increases, are getting somewhere from 1.5% - 2.5%.

So you are getting a very big rise, well above inflation.

Going back to the OP, I suppose I illustrate that the pension deductions will be worth it as you've started so young.

In my case, yes the state pension will be added to the 6k at age 67. That will be good. I just wonder if I can carry on teaching in the high school I am in right now until 67. I am on 0.3 so 3 days a week but it feels like more as I always have to work on the other days. Yes I agree working part time seems like a luxury and I do appreciate the TPS is better than most. I suppose I've been so busy juggling working with managing a family etc I didnt see it as a luxury until now.

Thanks for all your comments this has certainly focused my mind on finding out about AVCs and saving more.

So it Not amazing but going in the right direction and loads of people have no increase.... but.....

I do think it's low though considering how much you will likely have upskilled since your last increase

0.3 is a very low fraction and the main issue is that you are seeking to retire 7 years early. Even though working in your 60s is not great, the retirement age is what it is. Anyone who wanted to retire early would take a big hit. If you’d been doing 0.3 in the private sector at say 5% employer contribution and a DC scheme, you’d be even more fucked.

My neighbor who is a teacher has taken a role in curriculum development (or something like that) for the local authority so is not in the classroom anymore. Is that something you could work towards in the next decade or so?

6k plus 10K state pension isn’t that bad, especially if you’ve paid your mortgage off by then. It can’t be that far off your current income on a 0.3 contract.

I went up to ups2 this year and despite now earning ££40,000 im shocked at the actual take home pay!

But be worth it when retirement comes! I think im going to see about paying in my missing contributions for my 5 years of being part-time as would Like to semi-retire around 55.