20 December 2021

What the pension overpayment costs you

Members have been sharing their calculations and telling us how they could be spending the extra money they are paying into their pensions.

Over 20,000 PCS members have now completed our pensions calculator (https://www.pcs.org.uk/our-pensions-calculator) to work out how much they are overpaying in civil service pension contributions (https://www.pcs.org.uk/news-events/news/pcs-pension-campaign-basics).

Roberta emailed to tell us that she used our calculator to work out that she is overpaying by £45 a month.  She said “I have a large credit card debt which I am slowly paying off but that £45 would go a long way to paying it off quicker.”

Another member said that in nearly 40 years of working in the civil service this is the worst she has ever seen in terms of people trying to cope with rising energy, fuel costs and the cost of living.  She is overpaying into her pension by £31 per month.

She said “We are having to pay out more and are now just working to keep a roof over our heads and food and warmth but having to decide which we can afford each month. Having that extra pension money back will help but we need an increase with our pay.”

A member from the Home Office who is overpaying by £36 per month said, “I didn’t even realise I was paying over if it wasn’t for this action…You’re working to pay bills and debts and don’t get a chance to actually live life. At times I have had to borrow just to make it through the month which just puts you in a vicious circle of borrowing and paying back all the time.”

What you can do

Use our PCS pensions loss calculator (https://www.pcs.org.uk/node/7650). Simply enter your gross annual salary and the calculator will show you how much you have overpaid.

Input your loss into our editable graphic (https://pcsunion.force.com/pcsdigital/s/sharepoint-share-link?id=3225), and share it on social media, or with us by emailing editor@pcs.org.uk (mailto:editor@pcs.org.uk).

Use our simple e-action (https://bit.ly/3n0Xefu) to share what you have lost with your MP.

Please also share your stories with us at editor@pcs.org.uk (mailto:editor@pcs.org.uk).

Source URL: https://www.pcs.org.uk/news-events/news/what-pension-overpayment-costs-you