Please be reminded that if your school pays allowances to members of the Scheme for additional responsibilities that are an integral part of their teaching role, the allowance is pensionable if it is included as part of a pay award made under section 122 of the EA 2002, i.e. covered under the Teachers’ Pay and Conditions document. For allowances paid under a pay award not covered under the Teachers’ Pay and Conditions document the allowance may be pensionable. You must think very carefully about whether an allowance is pensionable or not.

Allowances that are pensionable include:

• Pastoral care
• Boarding or library duties
• Various sports allowances.

The most common bonuses in the University sector are performance related. The terms are therefore set out in the contract of employment and are pensionable in the Scheme. Bonuses that are "goodwill" payments, such as a Christmas bonus, are not be pensionable even when paid to all staff.

If you’re in doubt if an activity is pensionable or not, you could look at whether your member of staff can refuse the additional work.

If it’s determined that the allowances paid are pensionable, this could result in large arrears of contributions and interest. Contributions incorrectly deducted from earnings that aren’t pensionable will be refunded to you and the member without interest.