CPAS FAQs

The employer’s contribution for future service will be 18.6%. The University also makes contributions to address the deficit in the scheme bringing the total employer’s contribution to approximately 62%. Currently, Schools/Departments pay a contribution of 39% and the remainder is paid centrally.

Salary sacrifice means that instead of paying pension contributions, you can give up part of your salary (your sacrifice), which the University then pays into your pension, along with the University’s contribution to the scheme. It makes no difference to the amount that’s paid – only the method by which it is paid. However, because you have a reduced gross pay (by the amount of your pension contribution), you pay lower National Insurance contributions than you would were the pension contribution deducted from a higher gross pay, and your net pay is slightly higher as a result. Currently, only 50% of CPAS members have opted into the salary sacrifice arrangements, so half of CPAS members could benefit from reduced NI contributions by opting in. Please e-mail the Pensions and Benefits team if you wish to opt in to salary sacrifice arrangements.

Salary sacrifice is beneficial to most employees. However, if you earn close to the National Minimum Wage or Lower Earnings Limit for NI (currently £112 per week) it may not be suitable. The Pensions and Benefits team will be able to help you to determine whether salary sacrifice is right for you. 

Most employees in the University are either in the CPAS, CRSP or USS pension schemes. CRSP is a defined contribution scheme and employees can chose their contribution level from 3% to 10%. Employee contributions to the USS pension scheme are increasing to 8% in April 2016. A small number of employees are in the NHS pension scheme paying between 9.3% and 14.5% employee contributions.