Flexible retirement allows a member to consider drawing their accrued pension benefits but continue to earn a wage in their flexibly retired position and build up further benefits.
There are however, certain criteria which must be fulfilled before a member can consider doing this:
- They must be aged 55 or over;
- They must either reduce their hours or move to a position with a lower grade of salary; and;
- They must obtain their Employer’s consent, who must have a flexible retirement policy.
Calculating your pension benefits
When calculating a member's flexible retirement benefits, they may be subject to reduction as a result of their early payment. The employer can waive any reduction (with no grounds required) but this will incur a strain cost which the employer would fund.
Can I continue to be a member of the scheme?
If your employer agrees to flexible retirement you can draw your pensionable benefits as a regular income.
You will continue to work in in your new flexible post on less hours or a lower graded position, and earn an income in this job.
You will automatically be enrolled into the pension scheme in this flexible post to accrue an additional pension which will be drawn similarly to that of any other LGPS pension benefits.
The Clwyd Pension Fund process
You must first speak to your line manager or HR department as you will require their consent to take flexible retirement, whilst your employer will need a flexible retirement policy to do so.
If agreed, your employer shall notify the Clwyd Pension Fund that you have flexibly retired by completing a termination form which includes all your pensionable information. It is only once the Clwyd Pension Fund have been notified of this change of employment details that they are able to calculate your benefits. Once calculated we will write out to the member's home address providing details upon the annual pension and lump sum, with five forms to be completed.