The Royal Mail scheme has undergone several changes which are outlined in this diagram. In summary:

If you joined the scheme after 1 April 1987 and before 1 April 2008 you will have benefits in Section C. 

If you joined the scheme after December 1971 and before 1 April 1987 you will have benefits in Section B.

If you joined the scheme before December 1971 and didn’t transfer to Section B you will have benefits in Section A.

If you have benefits in Sections A, B or C and were still working for Royal Mail on 1 April 2018 you will have switched to building up benefits in the Cash Balance scheme. 

If you were a member of the Royal Mail pension scheme before and after 1 April 2012 then you are known as a ‘joint member’. This means your Royal Mail pension benefits are split over two schemes.

Any benefits earned before 1 April 2012 are paid by the Royal Mail Statutory Pension Scheme (RMSPS). Any benefits earned after that date are paid by the Royal Mail Pension Plan (RMPP). The RMPP’s website is www.royalmailpensionplan.co.uk and you will need to go there if you joined a Royal Mail scheme after 1 April 2008 or have benefits in the Cash Balance scheme.

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If you have benefits in RMSPS but have not yet started to draw a pension from these benefits then you are a deferred member. Some members may have some benefits which are payable at age 60 and some which are payable at age 65 so may have a pension in payment and also some deferred benefits.

Yes. The administration of the RMPP remains with the Royal Mail Group PSC, so members of both schemes will receive separate correspondence with respect to their RMSPS benefits and their RMPP benefits. There will be separate helplines and email addresses for each scheme.

Section A/B members:
Your basic annual pension is based on 1/80th of your pensionable salary for each year of reckonable service, and the basic lump sum is based on 3/80ths of your pensionable salary for each year of reckonable service before April 2008. The surviving spouse/civil partner’s pension is up to half of your own pension.

Section C members:
Your basic annual pension is based on 1/60th of your pensionable salary for each reckonable year of service. For reckonable service on and from 1 April 2008, your pension will have built up year by year an amount equal to1/60th of your pensionable salary for that year. You can choose to give up some of your pension in exchange for a tax free lump sum at retirement. Each year, any pension you had built up over previous years would also have been revalued in line with the annual increase (RPI – Retail Price Index) to a maximum of 5% and a minimum of 0% each year.

This is titled Total Service on your statement and is the number of years and days used to work out your pension benefits.

Please note that your Reckonable Service takes into account any non-contributory and part-time periods and may, as a result, be lower than the period between your Date Joined Scheme and Date of Leaving.

A lump sum will be paid if you die before you start taking your Royal Mail Statutory Pension Scheme pension. A lump sum may also be payable if you die within five years of receiving your pension benefits. The amount will depend on your circumstances. A pension may be payable to your spouse, civil partner or someone who is financially dependent on you.

The Royal Mail Statutory Pension Scheme may pay to a named beneficiary, subject to certain requirements. You can let us know who you would like to receive a pension by completing a ‘Dependant’s pension nomination’ form. Forms are available to download from the useful documents section on this website. If you are a Section C member you can also make changes to your nominations by signing in to the online portal for the Royal Mail Statutory Pension Scheme. You can sign in by clicking here. Complete the information form and you will receive a Personal Identification Number (PIN) which will give you access to the portal.

Section A/B members:
Your lump sum will automatically be paid to your personal representative(s) (the executors or administrators of your estate) unless you complete a `Direction of lump sum death benefit’ form for Section A/B which can be downloaded from the useful documents section on this website. If a lump sum is paid to your estate, it may be subject to Inheritance Tax. If a lump sum is paid to a nominee, it is generally paid free from Inheritance Tax.  If you have been receiving your pension for over 5 years there will not be a death benefit lump sum payable from the scheme however any unpaid arrears of pension may be payable.

Section C members:
Your lump sum will automatically be paid to various beneficiaries, including people nominated by you. The lump sum will not form part of your estate and so, under current law, is generally not subject to Inheritance Tax. You can change your nominations by completing a ‘Nomination of lump sum death benefit’ form for Section C which can be downloaded from the useful documents
section on this website.

Whilst we take your most recent nominations into account when paying any death benefits, the Scheme Manager has the final decision on who receives any death benefit.

If you joined the Royal Mail Pension Plan before 1 April 2008 you will have benefits in the RMSPS. You may also have RMSPS benefits if you were a partner or a dependant of a deceased RMSPS member and were eligible for a widow’s/ widower’s pension or a dependant’s pension.

When Royal Mail was privatised, the government took on the liability for paying pension benefits built up before 1 April 2012. These benefits were put a separate scheme: the Royal Mail Statutory Pension Scheme (RMSPS). The Royal Mail Group PSC administered the RMSPS under a contract with Cabinet Office agreed in 2012. In advance of that contract expiring in 2018, the Cabinet Office undertook a procurement process which allowed other providers to bid for the work. Based on the published selection criteria, Capita were the winning bidder and were awarded the contract to administer the scheme.

You can find more details about how your benefits are worked out in the Guide to benefits. If you need any more information, please contact us.

If you started paying AVCs after April 2008 then you will have made contributions to a separate money purchase fund set up in your name. This fund will have been managed by Zurich Assurance, the scheme’s AVC provider. You could also have paid into a separate money purchase fund before April 2008 managed by either Equitable Life, Standard Life or Norwich Union whoever was managing the fund you paid into will have details of your fund value (if you left it invested with them when you left Royal Mail) and will send you an annual benefit statement each year. If you have lost touch with them, please contact us for information.

If you paid AVCs before April 2008 you may have joined Addplan. Addplan worked by allowing you to buy extra years of service in the RMPP scheme. If you took part in Addplan, any years you bought will be shown on your annual benefit statement. If you have any queries about Addplan, you should contact us.

You can find more details about how your benefits are worked out in the Guide to benefits. Your annual statement will also show what we think your service in the scheme is. If you think there are any errors in our records, please contact us.

Yes, Capita will still send out current value statements each year around September time.

The Royal Mail Group PSC are responsible for sending out your Benefit Illustration for your RMPP benefits. You can visit their website for more information. Capita will send you a separate statement of your RMSPS benefits.

If you made additional contributions to AVC arrangements (e.g. Flexiplan or Bonusplan) these will continue to be administered by the Royal Mail Group PSC.

Section A/B members:
Your basic annual pension is based on 1/80th of your pensionable salary for each year of reckonable service, and the basic lump sum is based on 3/80ths of your pensionable salary for each year of reckonable service before April 2008. The surviving spouse/civil partner’s pension is up to half of your own pension.

Section C members:
Your basic annual pension is based on 1/60th of your pensionable salary for each reckonable year of service. For reckonable service on and from 1 April 2008, your pension will have built up year by year an amount equal to1/60th of your pensionable salary for that year. You can choose to give up some of your pension in exchange for a tax free lump sum at retirement. Each year, any pension you had built up over previous years would also have been revalued in line with the annual increase (RPI – Retail Price Index) to a maximum of 5% and a minimum of 0% each year.

This is titled Total Service on your statement and is the number of years and days used to work out your pension benefits.

Please note that your Reckonable Service takes into account any non-contributory and part-time periods and may, as a result, be lower than the period between your Date Joined Scheme and Date of Leaving.

A lump sum will be paid if you die before you start taking your Royal Mail Statutory Pension Scheme pension. A lump sum may also be payable if you die within five years of receiving your pension benefits. The amount will depend on your circumstances. A pension may be payable to your spouse, civil partner or someone who is financially dependent on you.

The Royal Mail Statutory Pension Scheme may pay to a named beneficiary, subject to certain requirements. You can let us know who you would like to receive a pension by completing a ‘Dependant’s pension nomination’ form. Forms are available to download from the useful documents section on this website. If you are a Section C member you can also make changes to your nominations by signing in to the online portal for the Royal Mail Statutory Pension Scheme. You can sign in by clicking here. Complete the information form and you will receive a Personal Identification Number (PIN) which will give you access to the portal.

Section A/B members:
Your lump sum will automatically be paid to your personal representative(s) (the executors or administrators of your estate) unless you complete a `Direction of lump sum death benefit’ form for Section A/B which can be downloaded from the useful documents section on this website. If a lump sum is paid to your estate, it may be subject to Inheritance Tax. If a lump sum is paid to a nominee, it is generally paid free from Inheritance Tax.  If you have been receiving your pension for over 5 years there will not be a death benefit lump sum payable from the scheme however any unpaid arrears of pension may be payable.

Section C members:
Your lump sum will automatically be paid to various beneficiaries, including people nominated by you. The lump sum will not form part of your estate and so, under current law, is generally not subject to Inheritance Tax. You can change your nominations by completing a ‘Nomination of lump sum death benefit’ form for Section C which can be downloaded from the useful documents
section on this website.

Whilst we take your most recent nominations into account when paying any death benefits, the Scheme Manager has the final decision on who receives any death benefit.

If you decide to move permanently to an overseas country for your retirement you will still receive your pension payments as you would in the UK. You will need to check we can make payments to your chosen bank account and make sure we have your new address. The only difference will be that your State Pension may not be increased (this depends on where you move to). If this is the case, RMSPS will take on responsibility for any pension increases paid on your GMP (see FAQ ‘What’s the Guaranteed Minimum Pension (GMP). You can find out more about State Pension payments and living abroad on the Government’s website www.gov.uk. 

NRA is the age at which you can normally take your pension without reduction. Any benefits you earned before 1 April 2010 have a NRA of 60. Benefits earned after 1 April 2010 have a NRA of 65. You can opt to take all your benefits at once, but any benefits taken before NRA will be reduced for early payment. Alternatively you can take only your benefits with a NRA of 60 at age 60 and take your NRA 65 benefits later so they are not reduced.

You may be able to take your benefits early without a reduction if you are suffering from ill health. You can find out more about this in our Guide to benefits. 

The earliest you take your pension is age 55, though it will be reduced for early payment. If you are unable to work due to ill health, you may be able to take your pension before age 55 and without a reduction. If you are thinking about taking your pension early, please contact us for more information.

GMP is pension that you will have in the scheme in place of building up additional State Pension between 1978 and 1997. If you were paying in to the scheme between these dates, you will have paid reduced National Insurance contributions in place of building up benefits in any additional State Pension scheme. In return some of your scheme pension was protected and particular rules applied to it.

If you were already receiving your State Pension before April 2016, you will have basic and additional State Pension amounts based on your National Insurance record. The GMP element of your pension in the scheme will also have been paid and pension increases will be made to this via the scheme and your additional State Pension each year.

Since April 2016, the new State Pension has been in place, which means that if you reach State Pension age after April 2016 you will only receive one State Pension. This means that your GMP pension will only be increased by the scheme but that you will receive the new State Pension which is currently guaranteed to be increased by the higher of earnings, prices or 2.5%. 

The pension supplement is payable to Section C members (those who joined between 1 April 1987 and 1 April 2008). It is paid if you retire before State Pension age and not in Royal Mail employment or if you retire early from Royal Mail, but before your State Pension age.

You can find out what your State Pension age is at www.gov.uk/state-pension-age. The pension supplement is not paid while you are working for Royal Mail and it stops once you reach State Pension age.

You can find out how the pension supplement is calculated in the Guide to benefits.

For your RMSPS benefits contact Capita. If you want to take your RMPP benefits contact the Royal Mail Group PSC. If you are approaching your Normal Retirement Age 60 or Normal Retirement Age 65 retirement date you will be contacted automatically by Capita. For more details about the retirement timeline and what you need to do, click here.

This year your P60 and week one (or monthly) payslip will be combined in one letter.

If you are paid quarterly, you will receive details of your revised payments and P60 towards the end of April or in early May. This is to ensure you receive your information before Her Majesty’s Revenue & Customs (HMRC) deadlines.

Your P60 shows the pension you’ve been paid and the tax deducted in the tax year 2019/20. Sometimes the amount shown before tax on your P60 will be different from your annual rate of pension for that year. This may be because:

• Your pension started during the tax year
• Your pension is paid in arrears and the first payment you received in the tax year included pension covering one or more days before 6 April 2019
• Your pension was not paid in full for the whole year

Section A/B members (members who joined the Scheme between 1969 and 1987)
Your pension increase is based on the increase in Consumer Prices Index (CPI) from September-to-September up to a maximum of 5% a year. The pensions increase to be applied to pensions in payment will be 1.7% for 2020/21. The increase will take effect from 6 April 2020.

Note: Increases may be lower if your pension includes an element called a Guaranteed Minimum Pension (GMP). You will have a GMP if you had service between 6 April 1978 and 5 April 1997. If you retired during the year your pension increases will be proportioned.

Increases and Guaranteed Minimum Pension (GMP) 
Pre-88 GMP

If you reached State Pension Age (SPA) on or before 5 April 2016, the increase to the GMP element of your benefits built up before 1988 (if any) will be paid with the State Pension. 

If you reached SPA between 6 April 2016 and 6 December 2018, the increase to the GMP element of your benefits built up before 1988 (if any) will be paid by the Scheme.

If you reached SPA after 6 December 2018 or have not done so yet, no increase has been applied to your GMP this year, but we are working to ensure that GMP increases reflect the most recent Government advice and you will be contacted in due course about this. 

Post-88 GMP
If you reached SPA on or before 5 April 2016, the increase to the GMP element of your pension built up from 1988 will be paid by the Scheme up to a maximum of 3%. If the increase is above 3% in any year, the balance above the Scheme limit of 3% will be paid with the State Pension. 

If you reach SPA on or after 6 April 2016 the increase to the GMP element of your benefits built up from 1988 will be paid in full by the Scheme. 

The GMP increase for 2020 will be 1.7%

Section C members (members who joined the Scheme between 1987 and 2008)
The increase applied to your pension will be based on the increases in the Retail Price Index (RPI) for the previous September. This year’s increase is 2.4%

Increases and Guaranteed Minimum Pension (GMP) 
Pre-88 GMP
If you reached SPA on or before 5 April 2016 the increase to the GMP element of your benefits built up before 1988 (if any) will be paid with the State Pension. 

If you reach SPA on or after 6 April 2016, there will be no increases applied to this section of your pension. 

Post-88 GMP
If you reached SPA on or before 5 April 2016 the increase to the GMP element of your pension built up from 1988 will be paid by the Scheme up to a maximum of 3%. If the increase is above 3% in any year, the balance above the Scheme limit of 3% will be paid with the State Pension.

If you reach SPA on or after 6 April 2016 the increases applied to this section of your pension will be the increase in the price index, up to a maximum of 3%. Any rise in the price index above 3% will not be paid. 

The GMP increase for 2020 will be 1.7%. 

Examples of the impact of GMP on pension increase calculations

Section A/B
A member receiving a pension of £8,000.00 a year with a pre-88 GMP of £1,500 a year and a post-88 GMP of £2,500 a year as at 24 March will see their increase applied in the following way:

• Pre-88 GMP: £1,500.00
• Post-88 GMP:   £2,500.00
• Remaining Scheme pension: £4,000.00

Increases applied as follows:

• Pre-88 GMP: £1,500.00 (no increase) £1,500.00
• Post-88 GMP:   £2,500.00 x 1.7% £2,542.50
• Remaining Scheme pension: £4,000.00 x 1.7% £4,068.00

Total annual rate of pension from 6 April = £8,110.50

Section C
A member receiving a pension of £8,000.00 a year with a pre-88 GMP of £1,500 a year and a post-88 GMP of £2,500 a year as at 24 March will see their increase applied in the following way:

• Pre-88 GMP: £1,500.00
• Post-88 GMP:   £2,500.00
• Remaining Scheme pension: £4,000.00

Increases applied as follows:

• Pre-88 GMP: £1,500.00 (no increase) £1,500.00
• Post-88 GMP:   £2,500.00 x 1.7% £2,542.50
• Remaining Scheme pension: £4,000.00 x 2.4% £4,096.00

Total annual rate of pension from 6 April = £8,138.50

In the above examples the member reached State Pension age on or before 5 April 2016. Please see the above notes if you reach State Pension age after that date.

The increase date for your pension this year is 6 April, therefore the pension payment you receive in April will be increased only for part of the month.

May's payment will be paid as follows:

• 1 to 5 April – will be paid at the old rate
• 6 to 30 April – will be paid at the new rate
  

May’s payment will be paid fully at the new rate.

Example

 Annual pension at 1 April 2020 = £10,000.00 (£833.34 per month)

Increase due 1.7% = £10,000.00 + 1.7% = £10,170.00 (£847.50 per month)

April payment

Days in period  x  Monthly rate
Days in month

1 to 5 April = 5 days  x  £833.34 (old rate) = £138.89
1 to 30 April = 30 days

6 to 30 April = 25 days  x  £847.50 (new rate) = £706.25
1 to 30 April = 30 days

Total due in April = £845.14

Current value statements will be sent at the end of September 2020.

Section A/B members:
Your basic annual pension is based on 1/80th of your pensionable salary for each year of reckonable service, and the basic lump sum is based on 3/80ths of your pensionable salary for each year of reckonable service before April 2008. The surviving spouse/civil partner’s pension is up to half of your own pension.

Section C members:
Your basic annual pension is based on 1/60th of your pensionable salary for each reckonable year of service. For reckonable service on and from 1 April 2008, your pension will have built up year by year an amount equal to1/60th of your pensionable salary for that year. You can choose to give up some of your pension in exchange for a tax free lump sum at retirement. Each year, any pension you had built up over previous years would also have been revalued in line with the annual increase (RPI – Retail Price Index) to a maximum of 5% and a minimum of 0% each year.

This is titled Total Service on your statement and is the number of years and days used to work out your pension benefits.

Please note that your Reckonable Service takes into account any non-contributory and part-time periods and may, as a result, be lower than the period between your Date Joined Scheme and Date of Leaving.

A lump sum will be paid if you die before you start taking your Royal Mail Statutory Pension Scheme pension. A lump sum may also be payable if you die within five years of receiving your pension benefits. The amount will depend on your circumstances. A pension may be payable to your spouse, civil partner or someone who is financially dependent on you.

The Royal Mail Statutory Pension Scheme may pay to a named beneficiary, subject to certain requirements. You can let us know who you would like to receive a pension by completing a ‘Dependant’s pension nomination’ form. Forms are available to download from the useful documents section on this website. If you are a Section C member you can also make changes to your nominations by signing in to the online portal for the Royal Mail Statutory Pension Scheme. You can sign in by clicking here. Complete the information form and you will receive a Personal Identification Number (PIN) which will give you access to the portal.

Section A/B members:
Your lump sum will automatically be paid to your personal representative(s) (the executors or administrators of your estate) unless you complete a `Direction of lump sum death benefit’ form for Section A/B which can be downloaded from the useful documents section on this website. If a lump sum is paid to your estate, it may be subject to Inheritance Tax. If a lump sum is paid to a nominee, it is generally paid free from Inheritance Tax.  If you have been receiving your pension for over 5 years there will not be a death benefit lump sum payable from the scheme however any unpaid arrears of pension may be payable.

Section C members:
Your lump sum will automatically be paid to various beneficiaries, including people nominated by you. The lump sum will not form part of your estate and so, under current law, is generally not subject to Inheritance Tax. You can change your nominations by completing a ‘Nomination of lump sum death benefit’ form for Section C which can be downloaded from the useful documents
section on this website.

Whilst we take your most recent nominations into account when paying any death benefits, the Scheme Manager has the final decision on who receives any death benefit.

We can change certain details over the telephone. The team is available by calling 0333 222 0078 between 9am and 5pm, Monday to Friday. You can also update your personal details on the online portal. You can sign in to the portal by clicking here. Complete the information form and you will receive a Personal Identification Number (PIN) which will give you access to the portal.

Should you misplace the original copy, you can view your current value statement on the online portal. You can sign in to the portal by clicking here.

If you were a member of the Royal Mail pension scheme before and after 1 April 2012 then you are known as a ‘joint member’. This means your Royal Mail pension benefits are split over two schemes.

Any benefits earned before 1 April 2012 are paid by the Royal Mail Statutory Pension Scheme (RMSPS). Any benefits earned after that date are paid by the Royal Mail Pension Plan (RMPP). The RMPP’s website is www.royalmailpensionplan.co.uk and you will need to go there if you joined a Royal Mail scheme after 1 April 2008 or have benefits in the Cash Balance scheme.

This is the date you stopped building up benefits in the RMSPS – which is 31 March 2012.

Your benefits are lower this year because the amount payable from RMSPS is linked to your service and salary up to 31 March 2012. Any additional amounts payable are paid from RMPP and should be reflected in your RMPP statement. Your RMPP statement will be sent by PSC.

This is what your pensionable salary was as at 31 March 2012 and is the pay upon which your RMSPS final salary benefits are calculated. Any additional amounts reflecting increases to your pensionable pay over inflation are paid from RMPP and should be reflected in your RMPP statement.

It has been agreed that this will not be provided as standard. You can find details of your death benefits on the online pension portal. Click here to access the portal.

You can check through these FAQs and look at the website to make sure you understand what your statement is showing you. If you are still having difficulty reconciling your statements, please call the team on 0333 222 0078 between 9am and 5pm, Monday to Friday for help with your RMSPS statement. Or you can email your questions to enquiries@rmsps.co.uk. We do not have copies of your previous statements from the PSC. Please have them to hand when you call so that our agents can take a note of all the relevant information.

Your RMPP statement should be sent to you by DATE – if you have not received it please contact the PSC.

Your RMSPS statement will be sent to you by 30 September 2020. If you have not received your statement or need another copy, you can see your statement online using the online portal. Click here to sign in.

For simplicity the two values are combined.

You will need to contact the PSC as they issued statements to joint members in 2019.

Your retirement benefits have been calculated to a specific date based upon your actual retirement from the Scheme and are the final amounts expected to be paid to you. Any retirement figures provided in a retirement quote override those on your current value statement.

The portal is an online resource for RMSPS members. You can see the value of your benefits, update your personal details and contact the Scheme directly. Click here to watch our video about HOP.

No, it only takes a few minutes. Just make sure that you are a member of the Royal Mail Statutory Pension Scheme and have your National Insurance number to hand. Follow the instructions on screen and you will soon have access.

Yes, once you are registered you can update your bank details, change your address details and get all your payslips and P60 information.

You can see an illustration online if you’ve not already started taking your benefits.

Yes if you are a member of Section C. Log on to the portal and you can update your death benefit nominations. If you are a Section A or B member, you can download a nomination form here.

We would like to send more communications electronically to give us an additional channel to communicate about your scheme benefits and reduce our impact on the environment. You can help us start this by providing an email address we can use to contact you once you have registered on the portal.

The online portal lets you update your personal data. Log on to the portal and go to Personal details. You can update your information there.