The Local Government Pension Scheme (Benefits, Membership and Contributions) (Scotland) Regulations 2008

Meaning of “pensionable pay”

5.—(1) An employee’s pensionable pay is the total of–

(a) all the salary, wages, fees and other payments paid to the employee for his or her own use in respect of the employee’s employment; and

(b) any other payment or benefit specified in the employee’s contract of employment as being a pensionable emolument.

(2) But an employee’s pensionable pay does not include–

(a) payments for non-contractual overtime;

(b) any travelling, subsistence or other allowance paid in respect of expenses incurred in relation to the employment;

(c) any payment in consideration of loss of holidays;

(d) any payment in lieu of notice to terminate the employee’s contract of employment; or

(e) any payment as an inducement not to terminate the employee’s employment before the payment is made.

(3) No sum may be taken into account in calculating pensionable pay unless income tax liability has been determined on it.