NHS Pension

[bluecar1414]

Hi

Can anyone tell me how much the NHS as an employer contribute to your pension?

I have googled but I just want someone to confirm as I've read different things.

Thanks

14.38% of your pensionable pay. Employees pay a sliding scale from 5.1% for the lowest earners to 13.5% for the top earners.

So, theoretically between me and my employer I am saving 25% of my salary in my pension, this forms part of my 'total rewards' package. In reality the scheme is defined benefits, paying a fixed amount out at the end based on salary and years of service so is not a 'pension pot' in the standard way.

Why do you want to know? It's a db scheme so employer contributions are irrelevant.

It depends on the band, the higher the band the bigger the contribution.

Thank you @Wazzzzzuuuuuuup

@titchy applying for a job in the NHS and I was just curious as everyone keeps telling me it's a good pension and I'm clueless about how pension work anyway

Thank you @Invisimamma that makes sense it's band 2

In a defined contribution scheme (most private sector employers), the employers and employees contribution, plus the tax relief, go into a big pot which is invested and you use to fund your pension when the time comes.

In public sector defined benefit schemes, contributions are irrelevant - you get a fixed amount based on your salary and years of service. Employee contributions do tend to be higher though.

Thank you @titchy for explaining

It’s completely irrelevant. Could be 1% or 50% makes no difference to your pension

I think I need to start to learn about pensions

Why is it irrelevant?

Because it's a defined benefit scheme.

@Justyouwaitandseeagain read what I posted.

As I said in my post. It makes no difference to the pension. And like others have said, it’s a DB scheme

@bluecar1414 this website has all the info www.nhsbsa.nhs.uk/nhs-pensions

Simply put the NHS scheme is Defined Benefit (DB), at the end of each financial year the scheme looks at what you have earned and divides this by 57 and “banks” that sum. So if you earn £25k /57 = £438 “banked” this is then payable as a pension when you reach pension age. Whilst it may not sound a lot it really mounts up.

@Princessglittery thank you for the link and explaining