Paying in more

You can choose to pay CARE Additional Voluntary Contributions (AVCs) with the aim of increasing your CARE pension benefits.

CARE AVCs are used to provide additional benefits on a defined contribution basis (Money Purchase) and are invested into AVC funds provided by the scheme. CARE AVCs are solely a member contribution and there is no contribution by Network Rail.

You can choose to contribute as much as you like, either with regular AVC contributions or one-off lump sums. You can also decide how your CARE AVCs are invested by choosing from a range of different investment funds.
Information on CARE AVCs, including helpful guides and each funds performance factsheets can be found at the Legal & General CARE AVC Investment microsite.

CARE AVCs are also eligible for tax relief in the same way your regular CARE contributions are. CARE AVCs are not currently deducted via the SMART arrangement at Network Rail.

You will need to consider the Annual Allowance, the maximum amount that is permitted by the Government to be paid into your pension in a tax efficient way each tax year.

To set up CARE AVCs, or amend the amount of CARE AVCs you pay, or to update where your CARE AVCs are invested, complete the CARE AVC Form.

You can view the current value of your CARE AVCs by logging in to your CARE Member Account.

What happens to my AVCs when I draw my CARE pension?

When you retire your CARE AVCs can be paid in addition to your CARE pension.
You can either:

  • use all or some of your CARE AVCs as a tax-free cash lump sum;
  • purchase an annuity from an insurance company, known as the Open Market Option.