There are three ways that active members can increase their benefits. It could be through Added Pension, Free-Standing Additional Voluntary Contributions (FSAVC), or a stand-alone stakeholder or personal pension plan
Members can purchase an additional amount of annual pension, which can be done in two ways. By making a one off lump sum contribution, and/or by making periodical monthly deductions.
The maximum added pension members can purchase with effect from April 2018 is £5,500 pa (the pension lump sum will increase to £16,500) for Classic members and £6,800 pa for Classic Plus, Premium and Nuvos members.
Purchase by lump sum
Members who wish to increase their pension benefits by payment of a lump sum should be aware that normally only one lump sum payment is permitted in any financial year, i.e. 1 April to 31 March, and can be paid at any time during that year, the exception being a second lump sum payment is permitted when this is paid from the member's compensation payment. New members cannot buy Added Pension by lump sum within 12 months of joining the scheme. The purchase can be made from salary (providing your salary will cover the amount you wish to pay) or by cheque. To meet the deadline of a lump sum deducted from pay at the end of the financial year, JSS must receive the completed application form by the third Friday in February. If you wish to pay by cheque, JSS must receive cheques by the third Friday in March at the latest to ensure clearance of the payment in the current financial year.
Purchase by monthly deductions
Members can also purchase Added Pension by monthly contributions, which must start from 1 April each year. If you want to buy Added Pension by monthly contributions for the next scheme year, you must send the completed application form to JSS by the second Friday in March so that we have time to instruct your payroll to start making deductions from your April salary. New members can start contributing immediately but in order to do so the completed Added Pension application form must be received by JSS within three months of the date you join the scheme.
Purchases using compensation payments
Members leaving on early severance, redundancy or early retirement terms, who are to receive a compensation lump sum payment, can use some or all of this payment to purchase Added Pension.
Added Pension is payable at age 60 for members of the Classic, Classic Plus and Premium Schemes, or age 65 for those in Nuvos; if taken earlier it will be actuarially reduced.
Added Pension Calculators
The links below will take you to the Added Pension calculators.
Added Pension Application Forms
The links below will take you to the Added Pension application forms.
If you would like to request further information or estimates, please contact us.
Additional Voluntary Contributions
The Additional Voluntary Contribution scheme is administered by the Civil Service's two providers - Scottish Widows and Standard Life. Contact details for each provider are below.
Scottish Widows - 03457 556 557 - Scottish Widows website - external link
Standard Life - 0800 333 305 - Standard Life website - external linkDue to changes with the Civil Service AVC scheme RCPS members are unable to begin new AVC arrangements from April 2018 but will be able to once the RCPS transfers to the Civil Service pension arrangements. In the meantime members are still able to purchase Added Pension.
Free-Standing Additional Voluntary Contributions (FSAVC)
An FSAVC is not connected to the RCPS. They are similar to AVCs and often referred to as money purchase or defined contribution schemes and are generally provided by insurance companies. JSS are unable to recommend any FSAVC providers.
Standalone Stakeholder Pension
Standalone stakeholder pensions are low-cost private pensions that have been available from 2001. The Civil Service standalone stakeholder pension scheme is provided by Standard Life - external link
From September 2018 RCPS members will not be able to join the Civil Service stand-alone stakeholder pension but will be able to participate in any other stakeholder or personal pension. These tend to be provided by insurance companies, banks or building societies and JSS are unable to recommend any providers.
© JSS 2018
Last updated: 23 Mar 2018