The Pearson Pension Plan (the Plan) is a pension arrangement to help you save for a more comfortable future.
The Plan is split into Defined Benefit (DB) and Defined Contribution (DC) sections. The DB sections are closed to new members, but find out which section you are in for more information on these sections, or to check if you are a member.
There are two sections in the Plan currently open to new joiners, Money Purchase 2003 Section (MP03 Section) and Auto Enrolment Section (AE Section). Both sections are Defined Contribution pension arrangements.
For further details of the benefits in these sections go to section information.
Contributions
| Money Purchase 2003 Section (MP03 Section) | Auto Enrolment Section (AE Section) | |
|---|---|---|
| What you pay* | Between 3% and 8% of Pensionable Salary. The maximum depends on your age. | 5% of Qualifying Earnings |
| What Pearson pays | Double what you pay in – between 6% and 16% of pensionable salary, depending on your age | 3% of Qualifying Earnings |
*You can choose to pay your pension contribution through Salary Exchange. For more information, please read the Salary Exchange Guide - This link opens in a new browser window.
Death in service benefits
| Money Purchase 2003 Section (MP03 Section) | Auto Enrolment Section (AE Section) | |
|---|---|---|
| Life cover (lump sum) | Yes 4 x pensionable salary | Yes 3 x pensionable salary |
| Pension for your spouse/civil partner or nominated dependant | Yes | No |
| Pension for your child/ren | Yes | No |
Additional benefits
| Money Purchase 2003 Section (MP03 Section) | Auto Enrolment Section (AE Section) | |
|---|---|---|
| Ill-health pension | Yes | No |
For additional details of the benefits offered in the Plan read below.
- The Money Purchase 2003 (MP03) Section
You can join the MP03 Section if you are aged between 16 and 74.
The benefits of this section are:
- Pearson will pay double the amount you pay every month. So, the more you pay, the more Pearson does. Click here to find out more about your contribution options.
- You can choose the amount you pay in each month from 3% – 8% depending on your age
- Your pension contributions can be paid through Salary Exchange. Click here to read the Salary Exchange Guide - This link opens in a new browser window
- The flexibility to change the amount you pay, between the minimum and the maximum, as often as you would like. Changes are made through Pearson Benefits - This link opens in a new browser window and usually take effect from the next month
- Life Assurance of four times pensionable salary plus a pension for your spouse/civil partner or nominated dependant, and up to four children, should you die whilst working for Pearson
- Ill health benefits for you and your family at no extra cost to you
To join the MP03 Section, go to the benefits selection section of Pearson Benefits - This link opens in a new browser window.
- The Auto Enrolment (AE) Section
You can join the Auto Enrolment (AE) Section if you are aged between 16 and 74.
The benefits of this section are:
- You pay 5% and Pearson pays 3% of your Qualifying Earnings (for the tax year 2024/25 these are earnings between £6,240 – £50,270)
- Your pension contributions can be paid through Salary Exchange. For more information, please read the Salary Exchange Guide - This link opens in a new browser window
- Life Assurance made up of:
- 3 x your Pensionable Salary
- the value of your pension pot
- the value of any AVC’s you may have paid
You will be automatically enrolled into the AE Section if you:
- Are aged 22 years of age or over,
- Are under State Pension age, and
- Earn over £10,000 a year (approx. £833 a month) for the tax year 2024/25
You do have the option to opt out, however, we are required to re-enrol you every three years.
Our ‘Why join?’ (PDF 753KB), guide provides an overview of the benefits of both the MP03 and AE Sections of the Plan.
