Teachers' Pension Scheme

Teachers' Pension Scheme (TPS) is the statutory, unfunded defined-benefit public service pension scheme for eligible teachers and lecturers in England and Wales. It operates on a pay-as-you-go basis, with benefits paid from public funds. As at 31 March 2025, the scheme reported a pension liability of about £290.7 billion.

The TPS has three sections: two legacy final-salary sections with normal pension ages of 60 and 65, and a career-average section introduced in 2015 under the Public Service Pensions Act 2013, in which the normal pension age is linked to State Pension age.

Employee contributions are tiered by pensionable earnings; as of April 2024, the employer contribution rate is 28.6% of pensionable pay, and scheme administration costs are recovered via an additional 0.08% of pensionable pay. Separate teachers’ pension schemes operate in Scotland and Northern Ireland.

This article is issued from Wikipedia. The text is available under Creative Commons Attribution-Share Alike 4.0 unless otherwise noted. Additional terms may apply for the media files.