Gradual move into retirement
With your employers consent it is possible to draw your pension from age 55 whilst still in employment. Providing you reduce your hours or move to a position on a lower grade.
The Government has announced the earliest age that you can take your pension will be increased from age 55 to 57 from 6 April 2028. This will not apply to ill health retirements.
Flexible retirement allows you to receive your pension early whilst still receiving a salary on reduced hours or lower grade. This means that you can continue paying into the Fund, to build up further benefits.
Will my pension and lump sum be reduced if I take flexible retirement?
If you take flexible retirement before your normal pension age, your benefits may be reduced for early payment. But if you were an active member of the Fund on 30 September 2006:
- your benefits may be protected from a reduction if you meet the criteria of the 85 year rule.
Important points to note
If you receive payment of your benefits under flexible retirement:
- your benefits will not be subject to a reduction or suspension for re employment. As long as you continue in your employment or any subsequent employment.
If you take flexible retirement after your normal pension age, your benefits will be increased for late payment of your pension.
Contact your Human Resources department if you are interested in taking flexible retirement.