Estimate your teachers' pension from the final salary NPA 60 or NPA 65 legacy section. See your pension, lump sum, and comparison with the 2015 CARE scheme.
Results are estimates. For the most accurate figures, request a benefit statement from Teachers' Pensions via My Pension Online at gov.uk/teachers-pension-scheme.
The Teachers' Pension Scheme (TPS) is one of the largest public sector pension schemes in the UK. It has three main sections: the pre-2007 NPA 60 final salary scheme, the 2007–2015 NPA 65 final salary scheme, and the current 2015 CARE scheme. This calculator covers the two legacy final salary sections.
| Feature | NPA 60 (pre-Jan 2007) | NPA 65 (Jan 2007–Mar 2015) | 2015 CARE |
|---|---|---|---|
| Accrual rate | 1/80th per year | 1/60th per year | 1/57th per year |
| Normal pension age | 60 | 65 | State Pension age (67) |
| Automatic lump sum | 3× annual pension | None | None |
| Salary basis | Best 3 in last 10 years | Best 3 in last 10 years | Career average |
| Commutation rate | £12 lump sum per £1 pension | £12 lump sum per £1 pension | £12 lump sum per £1 pension |
Annual pension = final pay × years / 80 = £42,000 × 25 / 80 = £13,125 per year. Automatic lump sum = £13,125 × 3 = £39,375 (tax-free). This is the most generous of the three sections for members with shorter careers due to the automatic tax-free cash.
Annual pension = final pay × years / 60 = £42,000 × 25 / 60 = £17,500 per year. No automatic lump sum, but you can commute up to the HMRC maximum. The 1/60th accrual produces a higher annual pension than NPA 60 for the same salary and service.
The 2015 scheme uses 1/57th accrual based on career average earnings, revalued by CPI+1.6% annually. For a teacher earning £42,000 throughout a 25-year career: £42,000 × 25 / 57 ≈ £18,421 per year at State Pension age. However, the CARE basis means salary progression matters more than in a final salary scheme — periods of lower pay reduce the average.
The NPA 60 section applies to teachers who joined before 1 January 2007. It accrues at 1/80th of final pay per year with an automatic lump sum of 3 times the pension. The NPA 65 section applies to teachers who joined between January 2007 and March 2015, accrues at 1/60th per year with no automatic lump sum.
NPA 60: annual pension = final pensionable salary × years / 80, plus automatic lump sum = 3× pension. NPA 65: annual pension = final pensionable salary × years / 60, with no automatic lump sum but optional commutation.
The teachers legacy scheme uses the average of the best 3 consecutive years' pensionable pay in the last 10 years of service. This 'best three in ten' rule ensures members who took a temporary pay increase in recent years benefit fully.
Yes, through commutation. You can give up annual pension at the rate of £12 lump sum per £1 of pension given up. The maximum tax-free lump sum is subject to the HMRC pension commencement lump sum limit of £268,275.
The 2015 CARE scheme accrues at 1/57th of pensionable pay per year, with a normal pension age equal to State Pension age (67). All teachers who joined from April 2015 are in this scheme. Legacy scheme members moved to it from April 2015, subject to the McCloud remedy.
Teachers who were in service before 1 April 2012 may benefit from the McCloud remedy. At retirement, they will receive the better of their legacy scheme benefits or the 2015 CARE scheme benefits for the period April 2015 to March 2022. Teachers' Pensions will calculate both options automatically.
Yes. Teachers pensions in payment are increased each April by CPI under the Pensions (Increase) Act. This means the pension maintains its real value over a long retirement.
Yes, from age 55. If you retire before your normal pension age, your pension is reduced actuarially — approximately 5-7% per year early depending on the section. Teachers' Pensions publishes the exact reduction factors on their website.
In the legacy scheme, part-time service counts on a pro-rata basis as full-time equivalent (FTE) years. Your final pensionable salary is always the full-time equivalent rate, so a part-time teacher's pension is reduced proportionately through the reduced FTE service years.
Yes. The annual allowance is £60,000 per year from 2023/24. The pension input amount for the teachers scheme is calculated as the increase in pension times 16 plus any lump sum increase. Senior teachers receiving significant pay increases may occasionally trigger an annual allowance charge.
The teachers scheme provides a death-in-service lump sum (typically 3 times pensionable pay) and a dependant's pension for a surviving spouse or civil partner. A children's pension may also be payable. Death after retirement triggers a reduced dependant's pension and may include a 5-year guarantee payment.
You can request a pension estimate or statement through the My Pension Online (MPO) portal at gov.uk/teachers-pension-scheme. Annual pension statements are issued each year showing your current accrued pension and projected estimate. This calculator provides an independent estimate.