A pension works by taking all the money paid in – by you, your employer and the government (in the form of tax savings) – and investing it for your future. Different schemes work in different ways, but the idea is that the investments will
grow over time to give you money to support you when you retire.
With the Amey OS Pension Scheme, the amount you get when you retire depends on things like how long you've been a member and your salary when you retire. These types
of pension schemes are commonly referred to as ‘defined benefit’ arrangements.
Watch the short animation below to learn more about how pensions work.
With the Amey OS Pension Scheme, both you and your employer pay into your pension.
The money paid in is known as ‘contributions’.
Your pension contributions are tax-free (subject to Annual Allowance
limits), making it an efficient way to save.
The amount you’ll get depends mostly on how much has been paid into it and:
The Amey, Accord and APS sections are defined benefit.
You can also ‘top up’ your pension by paying Additional Voluntary Contributions (AVCs). These will be paid into defined contribution arrangements. Your employer will be able to tell you more about AVCs.
You can request an estimate of your benefits from the Scheme's adminstrator, Railpen, by calling 0345 112 0025. Please note, you can only request two free estimates per calendar year.
There are various tax allowances that could affect your pension savings. We’ve included a short summary below. You can find more details about tax on your private pension contribution on gov.uk.
The Annual Allowance (AA) is a limit on the amount of pension savings you can make into your scheme(s) (you may have more than one) in any given tax year. If you exceed your AA, you may be charged tax on the excess.
The Lifetime
Allowance (LTA) was the maximum amount you could build up in all of your registered pension savings throughout your working life before you had to pay additional tax. It was abolished from 6 April 2024.
With the abolition of the LTA there is no limit on the amount of pension savings you can build up. However, lump sum limits or allowances have been introduced instead, This includes:
the Lump Sum Allowance (LSA) - which for most people limits the tax-free cash or lump sum you can receive from all your pensions
The Lump Sum and Death Benefits Allowance (LSDBA) - a cap on the tax-free lump sum that can be paid to, or in respect of, a member of a registered pension scheme
Overseas Transfer Allowance (OTA) - this only applies to transfers out to a Qualifying Recognised Overseas Transfer Scheme.
This is always a challenging time. If you face divorce or the dissolution of a civil partnership, your pension is likely to be considered along with your other assets when financial settlements are worked out.
A court order can be made to transfer part of the value of your pension benefits during the divorce or dissolution proceedings. If this were the case, it would mean your Amey Pension Scheme benefits would reduce to provide benefits for your ex-spouse or ex-civil partner.
You can pay part of your pension to your ex-partner either by a Pension Attachment Order or a Pension Sharing Order – both of these are granted by the Court. If you need further information about Pension Attachment Orders or Pension Sharing Orders, please contact Railpen on 0345 112 0025 or email amey@railpen.com.
It’s important to plan for your retirement carefully and make sure you’re saving enough for the lifestyle you want.
If you decide you’d like to boost your pension savings, you may want to consider Additional Voluntary Contribution (AVC) arrangements, for instance.
AVCs are contributions you make in addition to your regular pension contributions. AVCs may be paid into the same or a separate arrangement to your regular pension contributions, but are usually still tax-free, subject to certain limits.
Yes, but please think very carefully before you transfer your pension to another provider.
You should consider your long-term financial position and what you want your pension to provide in the future and compare the benefits of the Scheme with those offered by alternative personal pension plans or any other arrangements.
Transferring to another pension provider, or type pf pensions arrangement, may give you greater choice in how you can use your pension when you come to retire. For instance, some defined contribution pension arrangements may offer you the option of taking your pension as a cash payment or drawdown (a series of cash payments), or you may be able to use it to purchase an annuity or leave it invested.
If you're thinking of transferring your benefits from the Amey OS Pension Scheme, you should ask Railpen for a cash equivalent transfer value (CETV), or ‘transfer value’ by calling 0345 112 0025 or emailing amey@railpen.com.
You must seek advice from an Independent Financial Adviser (IFA) before transferring your defined benefit pension if it has a transfer value of more than £30,000. Even if your transfer value is less than £30,000, we would recommend speaking to an IFA before making any decisions. You can find IFAs in your local area at www.unbiased.co.uk.
You can visit the MoneyHelper website for more information on transfers or to learn more about your options at retirement with defined contribution pensions.
Please also be vigilant against pension fraud. Scammers may try to lure you into an illegal pension transfer – and if you fall victim, you could lose all of your pension savings. You can learn more on the Pension scams page.
Being a member of the Scheme offers a wide range of benefits for you and your loved ones. These may include the following:
You can request an estimate of your benefits from the Scheme’s administrator, Railpen by calling 0345 112 0025. Please note, you can only request 1 free estimate per calendar year.
Railpen will write to you six months before your ‘chosen retirement date’, (which you will have stated when joining the pension scheme), to start the process of being able to pay the correct pension benefits to you.
Alternatively you can apply for your benefits by contacting the Scheme’s administrator, Railpen, on 0345 112 0025.