Civil Service Pensions

MouldyOldDough

Expecting a 10.1% Pension Rise this year ?

Prepare to be disappointed

"Not all members are eligible for the full 10.1% increase - if you reached state pension age before 6 April 2016 and you were working in the Civil Service prior to 6 April 1997, part of your Pensions Increase is paid within your state pension. Therefore, if you didn’t receive the full 10.1% in your occupational pension, you will have received an increase in your state pension to compensate."

I received just 7.74%

Although I am still only 59 (ill health) - something has gone wrong with their calculations !!

molerat

Did you reach state pension age before April 2016 ?   No, so that paragraph is of no relevance to your situation.

Did you commence taking the pension later than April last year ?  If so that would be the reason for a pro rated increase in the pension.

Is it purely based on the amount received in the first payment of the year ? If so  that is based on part pre rise amount and part post.

There is nothing to show there is something wrong with their calculations

Scrounger

MouldyOldDough said:

Expecting a 10.1% Pension Rise this year ?

Prepare to be disappointed

"Not all members are eligible for the full 10.1% increase - if you reached state pension age before 6 April 2016 and you were working in the Civil Service prior to 6 April 1997, part of your Pensions Increase is paid within your state pension. Therefore, if you didn’t receive the full 10.1% in your occupational pension, you will have received an increase in your state pension to compensate."

I received just 7.74%

Although I am still only 59 (ill health) - something has gone wrong with their calculations !!

http://www.civilservicepensionscheme.org.uk/retired-left-or-leaving/retired-and-receiving-your-pension/yearly-pensions-increase-pi

"Why haven't I received a full month at the new annual rate?

Pension payments are made in arrears. Therefore, if you receive your pension at the end of the month (for example, 30 April) your payment will only reflect the new increased rate for part of the month."

Scrounger

MouldyOldDough

molerat said:

Did you reach state pension age before April 2016 ?   No, so that paragraph is of no relevance to your situation.

Did you commence taking the pension later than April last year ?  If so that would be the reason for a pro rated increase in the pension.

Is it purely based on the amount received in the first payment of the year ? If so  that is based on part pre rise amount and part post.

There is nothing to show there is something wrong with their calculations

It is relevant - because whilst I WAS working in the Civil Service prior to 6 April 1997 - I did NOT reach state pension age before 6 April 2016

I started to receive my Civil Service pension 13 years ago !

what date was the new rate payable from ?

6th ?

If so - how can  6 days difference in rates give a drop of 2.36% (10.1-7.74) ?

horsewithnoname

The increase is always paid the first Monday after the 6th of April. If you go on the MyCsp app it will give you your new annual rate, which should be the full increase, it’s just that in April you get a bit at the old rate and the rest at the new rate. 

Or MyCsp has messed up, which is not unknown, but you should have had a paper payslip which gives you Aprils rate and your rate for the rest of the year, so easy to check. 

Silvertabby

The increase is applied the first Monday on or after 6 April.  That was 10 April this year.

7.74% looks right to me.  Your May payment will reflect the full 10.01%

pinnks

It all depends on which date you are paid.  Mine is on 15th, so if I just compare month-on-month my increase looks like about 2%.  Come 15th May the whole amount will kick in.

MouldyOldDough

horsewithnoname said:

The increase is always paid the first Monday after the 6th of April. If you go on the MyCsp app it will give you your new annual rate, which should be the full increase, it’s just that in April you get a bit at the old rate and the rest at the new rate. 

Or MyCsp has messed up, which is not unknown, but you should have had a paper payslip which gives you Aprils rate and your rate for the rest of the year, so easy to check. 

I am paid on 2nd of the month

I dont have any paper payslip ... yet

MyCsp shows the lower amount - which is only a 7.74% PI

I think that they have reduced my payment incorrectly  - because I have not yet reached pension age !

Scrounger

10 April to 2 May = 23 days

23 days/30 x 10.1% = 7.74%

Scrounger

MouldyOldDough

https://forums.moneysavingexpert.com/discussion/comment/80026850#Comment_80026850

Why those dates though ?

Scrounger

Because 10 April 23 was when the 10.1% increase was applied and your monthly payment date is the 2nd of the month (paid one month in arrears).

Next month (2nd June), you will receive the full 10.1%.

Scrounger