Ill health retirement - teaching

[BG2015]

Think I'm going to have to go down this route.

Breast cancer in 2021, but I'm left with damaged lungs from radiotherapy. My asthma is now severe and won't ever improve.

Teach primary, fulltime and it's so exhausting. Coughing all the time, hoarse voice, I've had loads of time off sick with it. Constantly tired.

I'm 54 but feel 84 - something has to give.

I know there are 2 tiers but struggling to understand what that means in money terms.

My NPA is 60. If I retire on the higher tier I presume I get my full pension as if I'd retired at 60 but understand I can't work in any capacity.

If I get the lower tier how much will my pension be? I know I could work but not in teaching.

Having had a look at the guidance for the TPS https://www.teacherspensions.co.uk/-/media/documents/member/guides/ill-health-retirement-guide-november-2023.ashx?rev=7e1d3eb785d24989abc90c482007b1c7&hash=7E4841D8528A919416A60E32EFC7D1E2

I assume you are in the final salary scheme retiring at 60. The lower tier is calculated as total reckonable service (to last day of service) x pensionable salary / 80 = pension. Plus a lump sum of 3 times your pension. You should have an annual statement giving this information and your pension as at 31 March 2023, you will get slightly more than this. The complication is that you are likely to be impacted by McCloud remedy.

The higher tier is the calculation above but adding reckonable service for half the years between your last day of service and 60 NPA. This means if you are 54 years and 200 days old there are 5 years and 165 days to age 60 so 2 years 349 days (5/2 = 2 years 183 days + 165 days). If you had 32 years 50 days reckonable service this would become 35 years 34 days.

Ring TPS and speak to them. I've found them very helpful when I've had to speak to them.