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I've won a postdoc fellowship to work at a UK university (which is funded by a billionaire externally) and as part of the budget, my salary (I simply costed myself on a spine point) implicity includes the employer pension contribution. Understandably the university pockets the overheads - but if I choose to opt out of the pension, am I not entitled to the employer pension contribution also? After all, I'm bringing in the money. Or will I only get the employee contribution back (which I would otherwise have to pay for out of my salary) and the university takes the employer contributions as profit?

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  • Sounds like a question to the university.
    – Jon Custer
    Commented Jan 6 at 16:44
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    You'll eventually have to retire. Why would you not want to make sure you have retirement benefits by paying into the retirement system? Commented Jan 7 at 16:23

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This is probably unanswerable without seeing the specific agreement between your university and the donor.

However, in general, the answer is "no". For most granting agencies, the university is the one actually awarded the grant, and what they claim is the actual costs incurred by the work.

So if you don't want the pension contribution, the university just charges less to the grant, rather than charging the full amount and not spending some of it.

Depending on the scheme, this money may just go back to the funder, or can be used to extend the duration of the grant. But it's very rare for them to be used as salary supplements on pay scales*.

(* - An exception is some international schemes, such as the EU MSCA fellowships, which specify a total salary budget, rather than a pay scale, but given you mention spine points above I assume that's not the case for you.)

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  • The collorory to this is that the UK university pension scheme could be see as very good value: You pay in 8% (after this April) and the employer puts in 21%. If you opt out of the pension, or opt to pay into your own, private pension instead, you lose a lot of money. Better to pay into the pension, and then cash out/transfer the pension at the end if you can afford to do that. Commented Jan 8 at 10:52

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