Auto-enrolment and new employees
TSB supports the government’s aim to get more people to save for retirement so that they have an income on top of the State Pension.
You’ll be automatically enrolled into the Scheme on the day you join TSB.
When you join, you can choose how much you’d like to contribute and where your contributions are invested. If you don’t make any choices, you will automatically contribute 3% of basic pay and TSB will pay 8% of your basic pay. Your contributions will be invested using a specific version of LifePlan chosen by the Trustee.
Use the pension modeller to see the value of the benefits you could build up in the Scheme.
The modeller allows you to see what your annual pension and tax-free cash sum might be when you reach retirement. It also shows you the real cost (after tax savings) of increasing your core contributions and the impact this could have on your pension.
If you decide to opt out of the Scheme, you are recommended to seek financial advice.
If you have registered for fixed or enhanced protection from the Lifetime Allowance (LTA) charge, joining a pension scheme invalidates this protection.
Under AE legislation, TSB must enrol you in the Scheme. However, if you opt out within one month of being enrolled, HMRC will treat you as if you had never joined a pension scheme. You will retain your protection.
You may have to opt out more than once during your career to retain your protection. TSB must automatically enrol all eligible employees into the Scheme every third anniversary, from April 2014, to comply with AE legislation. We will write to you to confirm when this is happening so that you can make a suitable decision about opting out within the relevant time limits.
To avoid losing your protection and incurring a tax charge you must opt out within one month of being enrolled. For more details see Opting out.