If you’re thinking of opting out of your Civil Service pension, remember that if you do, you’ll miss out on a range of valuable benefits for you and your family. Not only is your pension an important part of your total reward package (your employer pays a significant pension contribution on your behalf) it also gives you peace of mind to know that you’ve started planning for your retirement.
Benefits to which you and your family may be entitled:
- Pension payable for life, fully guaranteed by the government
- A tax-free lump sum cash option upon retirement
- Generous employer contribution - you don't benefit if you're not a member
- Tax relief on contributions
- Protection for you – an ill health pension should you become too unwell to work
- Protection for your loved ones – should you die your loved ones could receive:
- A death in service lump sum (if you die in service)
- A spouse/partner/civil partner’s pension
- A children's pension
Please think very carefully before making your decision. We strongly recommend that you seek independent financial advice if you are unsure of how opting out may impact you financially.
There are some common reasons why members consider opting out of their pension scheme. Have a read to see if this applies to you.
You can find more information on opting out of the pension scheme in the frequently asked questions.