So far, we have focused on what happens if you leave teaching due to ill-health. It might be that you are fortunate enough to get better and feel inclined to get back into the classroom. If you are in receipt of ill-health retirement benefits and have or are about to take up employment, then this information is for you.
What happens to your pension?
An important question you should ask before taking up work is whether your pension will stop. If you receive an enhanced pension and take up any form of employment, the enhancement will stop instantly. To request the continuation of your enhancement, you must provide medical evidence to support your claim. Your request will be considered by an independent medical panel of advisors.
If you receive a pension and take up employment as a teacher or any work covered by the Teachers’ Pension Scheme, your pension will stop.
However, if your pension was payable on or before March 31st 1997, then a limited amount of employment is allowed. It needs to be part-time, and there should not be a change in your contract. You should know that any ill-health pension will be subject to review if you take up employment.
Informing the Scheme
If you start work, you must notify the Teachers’ Pension Scheme in writing. Whether the job is teaching or non-teaching might impact your entitlement, and you may not continue to receive your pension. If you receive more pension than you are entitled to, you may be asked to repay the money.
However, once you return to employment, you will begin to contribute to your pension once more. This will impact the future benefits you receive from the Teachers’ Pension Scheme.
The content in this article was correct on October 31st 2021. You should not rely on this article to make important financial decisions. Teachers Financial Planning offers advice on pensions for teachers and non-teachers. Please use the contact form below to arrange an informal chat with an advisor and see how we can help you.