Partial retirement allows active pension scheme members to take some or all of their pension and tax-free lump sum and continue working. This means you can reduce your working hours or pay and have a combination of pay and pension until you fully retire.
During this time, you can also build up more pension, payable when you fully retire.
To take partial retirement you must agree with your employer to reshape your job so that your salary reduces by at least 20%. You could do this by reducing your hours or reducing your salary. This could mean moving to a lower grade role with different responsibilities.
You should apply to take your partial retirement no longer than 3 months after reshaping your job.
There are many things you need to consider before deciding on partial retirement. You can find more information to help you with your decision in our guide to partial retirement.
If you're affected by the 2015 Remedy and this is the first time you're taking partial retirement, you can use the Partial Retirement Illustrator tool to estimate the effect partial retirement would have on your benefits. You can use this tool if at least some of the benefits you have built up are affected by the 2015 Remedy.
Check if you are affected by the Remedy and use the Partial Retirement Illustrator tool:
To see what affect partial retirement would have on your pension benefits use the Partial Retirement Illustrator tool. This tool is for illustrative purposes, but it will show you the possible impact of partial retirement on your pension at full retirement.
The Illustrator tool is for you as long as:
The Illustrator provides a basic illustration of your projected benefits at partial and full retirement from both PCSPS (your legacy scheme) and alpha. The Illustrator will also provide a comparison between the Deferred Choice benefits at partial and full retirement.
Please note: the illustrator is not suitable for members whose PCSPS scheme section was nuvos.
There's a video which we recommend you watch before using the Illustrator tool. The video will explain how to use the tool and what information you’ll need to have to hand when using it. If you’d like to give feedback on the tool, you can do so at the bottom of the page by answering the ‘Was this information helpful?’ question and leaving us your feedback there. We’d appreciate your help in making the tool easy to use.
