How your TPT pension works
When you start working for a company, your employer is legally required to enrol you on to a pension scheme. To be eligible, you must be:
- Classed as a ‘worker’.
- Between the age of 22 and State Pension age.
- Earning at least £10,000 per year.
- Working in the UK.
You can opt-out if you want to and opt back in later if you change your mind.
You pay a percentage of your salary into a pension each month – usually a minimum of 5%. Your employer contributes too – usually a minimum of 3%. If you increase the percentage you pay in, your employer might increase theirs too.
One of the best bits about your pension is tax relief. It basically means you don’t pay tax on the money you pay into your pension, so every £1 you contribute from your salary only costs you 80p.
Your money is invested
We invest your pension contributions because it gives them the best chance to grow over time. We do this for you, so you don’t have to do anything. However, if you have a DC pension with us, you have the option to select your own funds and get involved with investing decisions.
The difference between DB and DC pensions
Now you’ve seen what DB and DC pensions have in common - let’s take a look at what sets them apart.
The State Pension
Pension terminology explained
There’s no getting around the fact that pensions can be complicated, and the terminology can make things even harder to understand. Take a look at our jargon buster to see what it all means.
Tracing lost pensions
Setting up your online account
Once you’re enrolled with TPT, you’ll be able to register your account online if your employer uses online access. It’s the easiest way to keep track of your pension.