Options if you Resign Before Normal Pension Age

OTHER OPTIONS IF YOU RESIGN BEFORE NORMAL PENSION AGE?

Where the member leaves not having accrued the minimum service for preservation of benefit (generally with less than 2 years reckonable service on leaving) s/he has, effectively, 3 options;

 

  1.  If you intend returning to employment covered by  this scheme, then you need do nothing in regard to your superannuation, and, on return you will accrue further service. The earlier service will be taken into account for calculation of benefit on ultimate retirement.
  2. If you move to another public service body that participates in the Public Service Transfer Network or the Local Government Transfer Network, you may transfer the service to that body. Should you wish to transfer you should contact the Personnel/Pensions Manager in the new employment to organise the transfer.
  3. Apply for a refund of the contributions paid to the scheme. The refund payable is the total contributions paid less 20% tax charged on those contributions. When a member pays pension contributions by deduction from salary, tax relief at source is granted, however under Revenue rules if the person on leaving claims back his/her pension contributions tax at the appropriate rate must be charged on the contributions being refunded. If you wish to claim back your pension contributions you should contact the Superannuation Section of WWETB and complete Form R001.

Application Form for Refund of Contributions – Form R001

WWETB Application for Refund of Contributions R001

N.B. – Where the member leaves service, before pension age but has accrued the minimum service for preservation of benefit (generally has more than 2 years’ service) a refund of contributions is not available.

A member in this situation, on leaving, has the following options:

If the member intends returning to employment  covered by this scheme, then s/he need do nothing in regard to his/her superannuation, and, on return s/he will accrue further service.

The earlier service will be taken into account for calculation of benefit on ultimate retirement.

If the member never returns to any public service employment, then a preserved benefit based on the accrued service will be payable on reaching Preserved Pension age,

(Preserved Pension age is, in general, age 60 in the case of a person whose employment commenced before 1 April 2004 and who is not a new entrant as defined in the Public Service Superannuation (Miscellaneous Provisions), Act 2004, OR age 65 in the case of a person who is a new entrant under that Act.).

N.B. A member who has left service must apply for the preserved benefits. Application should be made at least 3 months before reaching pension age.

Increases in pensions are awarded by the Minister for Education and Skills with the consent of the Minister for Finance. The application of the increase is based on parity which means that, where increases paid to serving staff are being passed on to pensioners, the pension increases are effective from the same date as the increases being paid to the serving member. In practice, all general pay increases since 1986 have been passed on to pensioners on the same basis as to serving staff. In the case of special pay increases for serving staff, some may be passed on to pensioners and others may not.

Application Form for payment of Preserved pension and lump sum – Form Ret P2 (teacher version)

WWETB Application for Preserved Benefits P2 Academic Staff

Application Form for payment of Preserved pension and lump sum – Form Ret P2 (non-academic staff version)

WWETB Application for Preserved Benefits P2 Non-Adacemic Staff

Transferring Service:

If moving to another public service body that participates in the Public Service Transfer Network or the Local Government Transfer Network, you may opt to transfer the service for pension purposes to that body. Should a member wish to transfer s/he should contact the Personnel/Pensions Administrator in the new employment to organise the transfer. (A member’s decision on whether to transfer service to the new employment or preserve benefit in the former employment will be influenced by a number of factors including potential pay progression; whether benefit in one or either scheme is integrated with Social Welfare benefits; whether membership of the Spouses & Children’s Pension Scheme applies. (It is important that the member discuss these and any other pension issues with the Scheme administrators before deciding to formally transfer service.)

Details of Public Service Transfer Network (members at 17/2/14) – follow link below:

http://www.etbi.ie/wp-content/uploads/2014/02/pstn_list_of_participants_17_2_14.pdf

 Death before Benefits become Payable:

Where a person has left the service with eligibility for preserved superannuation benefits, and dies after leaving but before reaching pension age, certain benefits become payable. A preserved death gratuity based on actual service accrued, is payable to the former member’s legal next of kin, on production of Grant of Probate or Letters of Administration. A Spouse’s Pension may also be payable to a surviving spouse. (The spouse’s pension is payable subject to the spouse satisfying the necessary conditions. In particular where the member was a member of the original Spouses and Children’s Scheme, the member’s marriage to the surviving spouses must have taken place prior to the member’s resignation as a scheme member)      

Contact Details of former Scheme Member:

A scheme member who has left service and who has not taken a refund of contributions, or who has not transferred his service to another public service scheme, or who has not availed of Cost Neutral Early Retirement Benefits, should notify the Superannuation Section of WWETB of any change to his/her address. This will enable the Superannuation Section to make contact with the former scheme member should it need to do so. The onus rests on the Scheme member to ensure that the scheme administrators have an up-do-date home address for him or her.

Share

Top of Page
Menu