Paying Contributions

Teacher teaching class

All eligible jobholders who are members of the Scheme must have their pension contributions deducted from their gross contributable salaries.

All eligible jobholders, both full and part-time, must be treated as being in pensionable employment unless they’ve elected to opt out of the Scheme. To find out more about eligible jobholders, read our factsheet (This link opens in a new window).

It’s important to note that proprietors cannot participate in the Scheme. A proprietor for the purposes of the Teachers’ Pension Scheme means a person who has a financial interest in an accepted school, other than being in receipt of a salary in respect of their employment.

It’s your responsibility to deduct and pay contributions on time along with the corresponding Monthly Contributions Reconciliation (MCR) file. For more about contributions visit our contributions section, and for more about MCR, visit our MCR section.

Employee’s contribution rates are tiered, based on the annual equivalent of the salary rate earned for that month.

Salary bands for contribution rates and the current employer contribution rate can be found on our calculating contributions webpage.

It’s a regulatory requirement that all contributions due are paid monthly by the 15th of the month following the month they’re due. If the 15th falls on either a weekend or bank holiday, then they must be received the preceding working day. Failure to pay them on time will lead to compound interest being charged and, in certain circumstances, to the establishment ceasing to be an accepted school in the Scheme.

If your contribution submissions are completed by a 3rd party such as a payroll provider it’s still your responsibility to ensure that:

  • Deductions are made at the correct rate
  • Contributions are made on time
  • Contributions are paid separately, using the correct BACS reference
  • The corresponding MCR file is completed correctly

For more about contributions visit our contributions section.

Last Updated: 24/01/2023 10:11

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