Early payment of deferred benefits at your request

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If you left your job before 1 April 2014, you can choose to draw your deferred benefits at any time between the ages of 60 and 75.
 
If you left your job after 1 April 2014, you can draw your deferred benefits at any time between the ages of 55 and 75.
 
If you choose to draw your deferred benefits before your Normal Pension Age, your benefits will normally be reduced to take account of their early payment and the fact that your pension will be paid for longer. How much your deferred benefits are reduced by depends on how early you draw them.
 
The reduction is calculated in accordance with guidance issued by the Government from time to time. The reduction is based on the length of time (in years and days) that you retire early – i.e. the period between the date your benefits are paid and your Normal Pension Age.  The earlier you retire, the greater the reduction.
 
As a guide, the percentage reductions (effective from 29 April 2016), for retirements up to 13 years early are shown in the table below. Where the number of years is not exact, the reduction percentages are adjusted accordingly.
 
 
Years Early
Pension Male
Pension Female
Lump Sum
(for membership up to 31 March 2008)
       
0 0% 0% 0%
1
5.6%
5.2%
2.9%
2
10.8%
10.1%
5.7%
3
15.5%
14.6%
8.5%
4
20.0%
18.8%
11.2%
5
24.0%
22.7%
13.7%
6
27.8%
26.4%
16.3%
7
31.4%
29.8%
18.7%
8
34.7%
33.0%
21.1%
9
37.7%
36.1%
23.4%
10
40.6%
38.9%
25.6%
11
44.2%
42.2%
Not applicable
12
47.6%
45.5%
Not applicable
13
50.9%
48.6%
Not applicable
 
Please note that if you built up pension in the LGPS before 1 April 2014, then protections are in place for the Normal Pension Age that applies to those benefits.
 
In addition, if you were a member of the LGPS at any time between 1 April 1998 and 30 September 2006, some or all of your benefits paid early could be protected from the reduction if you are a rule of 85 protected member.
 
You can find out more about these protections in the section If you joined the LGPS before 1 April 2014.
 
Your former employer can agree to waive any reduction. This is a discretion and you can ask your employer what their policy on this is.