Scheme leavers before retirement
What happens to a members benefits when they leave or opt out of the LGPS, will depend on how long they have been in the scheme.
Refund or deferred pension?
From 1 April 2014, members must have two years qualifying membership in the scheme to be entitled to benefits.
If they've less than two years they could be entitled to a refund of contributions providing:
- They've not subsequently re-joined the LGPS within a month and a day of ceasing their employment, of which they are claiming the refund of contributions
- They're not currently making contributions to the LGPS
- They don't already hold a deferred benefit in the LGPS
- They're not in receipt of a pension from the LGPS
- They've not previously transferred pension rights from the LGPS to an overseas pension scheme
If the member opts out of the scheme with under three months membership, and a refund is requested (providing they does not meet any of the above criteria), then the refund of contributions can be made via your payroll. For leavers over three months, a leaver’s form must be completed and we will give the member the available options.