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Can I top up local gov pension while on maternity leave?

6 replies

Lagirl20 · 19/11/2023 10:33

I work for a local government organisation. I have a local government pension. I’m going on maternity leave next year, and I’m wondering if I can top up my pension while on reduced mat leave payments, and if it’s worth it. I am assuming it’s always worth topping it up! Asking here because my own HR department are beyond useless and will not even return my emails, let alone answer my question (downside of working in local gov!)
info and advice from those in the know much appreciated 😊

OP posts:
Bromptotoo · 19/11/2023 10:54

Is this a defined benefit scheme where your pension at retirement is based on final/average salary ?

Lagirl20 · 19/11/2023 11:27

Yes i believe so but I do make monthly contributions that go down to nothing when I’m on mat leave so I’m not sure if worth it to top up or unnecessary

OP posts:
Bromptotoo · 19/11/2023 12:29

This looks as if it might help:

https://www.lgpsmember.org/your-pension/paying-in/if-you-are-away-from-work/

My reading is that while you're on maternity you're treated for pension purposes as though you are on normal pay.

skilpadde · 19/11/2023 13:42

Yes, it's worth the top up as your contributions are based on your maternity pay, but the benefit is as if you were on normal pay.

Try contacting your payroll team rather than HR. There should be a form you complete within the first month of returning, so that your employer is liable for the employer contributions and not you.

JamMakingWannaBe · 21/11/2023 00:08

It is always worth topping up.

Read the guidance carefully.
It is only the period of unpaid leave where contributions are not paid to your LGPS.
You only have 30 days from your return to work to advise that you want to top up (and have your employer contribute).

If you are returning PT, the difference between FT and PT contributions should come from the family "pot" (assuming you have a DP). Your future pension should not be penalised if you choose to return PT.

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