Leavers under age 55

When a member who is under 55 leaves (either voluntarily or through redundancy/business efficiency) or opts out, they are entitled to either:

• • a deferred benefit – must have two or more years membership, including any membership transferred into the LGPS pension from other schemes.
  • a refund of pension contributions.
    • • under three months – employer refunds the contributions.
      • over three months but less than two years – the Fund refunds the employee contributions.

i-Connect user

If an employee either leaves employment or opts out with more than three months service you will need to enter them as a leaver on your monthly i-Connect return. You must submit leaver information within six weeks of the employee leaving or opting out. The reason for leaving should be one of the following:

• • • Voluntary resignation.
    • Redundancy/Efficiency under age 55.
    • Employee opt out.
    • Dismissal – you will be contacted to ask whether pension benefits are to be withheld. You may have a discretions policy on this although it’s not mandatory.
    • Death in service – you should already have made the Fund aware of the member’s death prior to your i-Connect submission. The contribution and pay information up to the date of death will still need to be added to your i-Connect submission.
    • TUPE to third party contractor.
    • Internal transfer within the organisation.
    • Other reason.

Not an i-Connect user

If an employee either leaves employment or opts out with more than three months service you will need to submit a Leaver Form. You must submit leaver information within six weeks of the employee leaving or opting out. The reason for leaving should be one of the following:

• • • Voluntary resignation.
    • Redundancy/Efficiency under age 55.
    • Employee opt out.
    • Dismissal – you will need to confirm whether pension benefits are to be withheld. You may have a discretions policy on this although it’s not mandatory.
    • Death in service – you should already have made the Fund aware of the member’s death prior to submitting an SU5 leaver form.
    • TUPE to third party contractor.
    • Internal transfer within the organisation.
    • Other reason.