Thinking of opting out?

Points to Consider Before Opting Out

You might be thinking of opting out of the LGPS for a variety of reasons. Whatever the reason, opting out won’t save you as much in take home pay as you may think. In most cases, you will pay more tax if you opt out of the LGPS.

If you are thinking of opting out you really need to consider that the LGPS is one of the best and most highly valued of occupational pension schemes. Being a member means you can enjoy the benefit of a complete range of secure benefits.

LGPS Benefits:

What About Going 50/50 Instead?

If you are considering opting out because you feel that the contributions are too expensive, you may wish to consider joining the 50/50 Section of the scheme.

The 50/50 section allows you to pay HALF your normal contributions in return for HALF your normal pension build up.

HOWEVER, the following benefits remain at 100%

You can choose to opt back in to the 100% section at any time. There is no limit on the number times you can opt between the 50/50 section and main 100% section

Further details of the 50/50 section can be found here – 50/50 Scheme

If you opt-out, you can, provided you are still eligible to join the scheme, opt back into the scheme at any time before age 75.

Cancelling Your Membership

If you decide that you no longer wish to be a member of the LGPS and want to opt out, you can download the opt out form here. When you have completed it you must send it straight to your employer who will arrange to cancel your membership.