How a CARE scheme works
In a CARE scheme the pensionable pay for each year of membership is used, in order to calculate a pension amount for that particular year. Every scheme year (1 April to 31 March) an amount equal to a 49th of your pay in that year is added to your pension account. If you are in the 50 / 50 section an amount equal to a 98th of your pay is added in that year.
That pension amount is then revalued each year in line with inflation (it should be remembered that, while your CARE pension might be expected to increase each year, the pension amount could be reduced should there be negative inflation). These individual pension amounts are then added together to arrive at the total pension payable from the scheme.
Your normal retirement age is linked to the State pension age, which over time will be later than age 65. For more information on your specific benefits please contact us or to access your information via secure logon please use this link.