Away from work and paying extra
If you are paying extra in the LGPS, different rules apply when you are absent depending on the type of additional contributions you are paying and the reason for your absence. In some cases you will need to pay the additional contributions when you return to work.
Sickness or injury
- Additional Pension Contributions (APCs), Shared Cost APCs, added years and Added Regular Contributions (ARCs): You must continue to pay these contributions in any period of sickness or injury when you are being paid. You do not have to pay them in a period of unpaid sick leave. Your contributions would be deemed to have been paid in full.
- Part time buy-back: If you are paying extra to buy back previous part time service, you must continue to pay the extra pension contributions set out in the contract as if you were not on leave.
- Additional Voluntary Contributions (AVCs) or Shared Cost AVCs: These contributions may continue. You can choose to vary the amount you are paying. If you are paying AVCs for extra life cover, you should arrange to continue with these payments throughout your leave or your cover may stop. This is very important during a period of unpaid sick leave because it will not be possible to deduct the contributions from your pay.
- Cohabiting partner’s pension: if you are paying extra for pre 6 April 1988 membership to count, you must continue to pay these contributions in any period of sickness or injury when you are being paid. You do not have to pay them in a period of unpaid sick leave. Your contributions would be deemed to have been paid in full.
Child related leave, authorised unpaid leave or strike
- Additional Voluntary Contributions (AVCs) or Shared Cost AVCs: These contributions may continue. You can choose to vary the amount you are paying. If you are paying AVCs for extra life cover, you should arrange to continue with these payments throughout your leave or your cover may stop. This is very important during a period of unpaid leave because it will not be possible to deduct the contributions from your pay.
- All other types of extra contributions: You must continue to pay the contributions you are contracted to pay as if you were not away from work. This includes Additional Pension Contributions (APCs), Shared Cost APCs, added years, Additional Regular Contributions (ARCs), Part time buy-back and paying extra for pre 6 April 1988 cohabiting partner’s pension. Your employer may need to deduct any unpaid contributions from your pay when you return to work.
Reserve forces leave
- Additional Voluntary Contributions (AVCs) or Shared Cost AVCs: These contributions may continue. You can choose to vary the amount you are paying. If you are paying AVCs for extra life cover, you should arrange to continue with these payments throughout your leave or your cover may stop.
- Additional Pension Contributions (APCs), Shared Cost APCs, or Part time buy-back: You must continue to pay the extra contributions set out in the contract as if you were not away from work.
- Added years, Additional Regular Contributions (ARCs) and paying extra for pre 6 April 1988 cohabiting partner’s pension: If your reserve forces pay is equal to or higher than your normal pay, you must pay the extra contributions as if you were not on leave. If your reserve forces pay is less than your normal pay, you do not have to pay the extra contributions. They are deemed to have been paid in full.