About the Career Average Scheme
The career average pension scheme, previously called PEPS, is for employees of the States of Jersey or an admitted body who are employed on or after 1 January 2016.
Most of the employees who are members of the Public Employees Contributory Retirement Scheme (PECRS) will be joining the PEPS from Tuesday 1 January 2019.
You can find out more about moving from the Final Salary Scheme to the Career Average Scheme and what to expect on our moving into the Career Average Scheme from the Final Salary Scheme page.
The PEPS is a funded scheme, where the employees' and employers' contributions are invested to help provide benefits in future years.
Joining the Career Average Scheme
Anyone employed on a permanent or fixed term contract by the States of Jersey on or after 1 January 2016 will join the scheme from the date that they start employment.
Anyone employed by an admitted body should seek advice from their local Human Resources department regarding membership in the scheme.
Career Average Scheme new member information pack
Your pension is based on contributions that you and your employer make over your working life.
7.75% is deducted from your wage if you are an non-uniformed member or 10.10% if you are a uniformed member. 16% is paid by the employer.
Contributions are deducted from your basic gross salary. You or your employer don’t make any contributions on any additional payments that you might receive on top your basic salary eg overtime or stand-by payments.
Additional voluntary contributions
You can increase your pension with additional voluntary contributions. You can pay either an additional percentage of your annual salary or a fixed monetary amount. Pensions will aim to increase in line with Jersey RPI + 1%. Pension increases are not guaranteed and are subject to the financial status of the fund.
Find out more about
additional voluntary contributions.
For non-uniformed members, normal pension age is linked to the state pension age. For uniformed members the normal pension age is 60.
Calculate your pension age
You can retire before your normal pension age but if you choose this option your pension will be subject to a reduction. If you work past your normal pension age you will receive an enhancement to your pension. The amount a pension is reduced or increased is determined by the Actuary.
Leaving employment before retirement
Early and late retirement adjustments
Tax free lump sum
You can take 30% of your final annual pension and convert it to a tax-free lump sum. For every £1 you will get £13.50.
For example, if you’re due an annual pension of £10,000 and you choose to take a lump sum of 30% (£3000), your annual pension will reduce to £7000 but you’ll receive a lump sum of £40,500 as a tax free lump sum.
Under the scheme you will also be able to ask a one-off lump sum whilst in employment in the 10 years before normal pension age or from 55, which ever is later, subject to a reduction. This only applies to benefits built up under the Career Average Scheme and if you take a lump sum whilst in employment you won’t be able to take a lump sum at retirement from the Career Average Scheme.
Survivor and children's benefits
The Career Average Scheme provides a pension for spouse, civil partner, cohabitating partner or child. Survivor benefits will also be paid where a marriage or partnership occurs after you reach normal pension age.
If the beneficiary (excluding a child) is more than 20 years younger than you at the time of your death, the pension will be reduced by 2.5% for each year, over 20 years, that your beneficiary is younger than you by. For example, if your beneficiary is 22 years younger than you, the pension will reduce by 5%.
Death in service lump sum nomination form
Career Average Scheme nominate a cohabiting partner form
Survivor benefits - protecting your family
Leave of absence
Your pension may be affected if you are on:
- sick leave
- maternity, paternity or adoption leave
- unpaid leave of absence or on strike
Career Average Scheme leave of absence guide
Leaving and transfer out options
There are different options for you if you are leaving the scheme or retiring from public service.
Leaving employment before retirement
Transfer out guidance notes
Retirement details form
Guide to taking a one off small pension lump sum
You can transfer a pension from any other pension arrangement that you may have.
Transfer in form
More information on the benefits provided by the scheme can be found in the full members guide.
Career Average Scheme members' guide
If you are unhappy with a decision that affects you or your dependants you have a right to have the decision reviewed. You should
email the Public Employees Pension Team within three months of the decision being made.