Accrual rate

A percentage that shows how much pension accrues. For persons aged under 53 who are working, the accrual rate is 1.5 per cent for each year of employment. For persons aged between 53 and 62 the accrual rate is 1.9 per cent and for persons aged between 63 and 67 the accrual is 4.5 per cent.

For local government employees born before 1950, the rate is 2 per cent a year until they reach the age of 63.

If a pension recipient who is aged under 68 is working, he or she accrues new pension rights for the earnings from work at the annual rate of 1.5 per cent.

Synonyms:

Accrual percentage