Example of Reduced Pay Sickness based on Lunar Pay Periods (12 Weeks Average)

Brian goes on sick leave and his pay is reduced from 15-June to 03-September 2022.

This is his pensionable pay for the 3 full pay periods (12 weeks) preceding his reduced pay period:

Pay	09-March to 05-April	06-April to 03-May	04-May to 31-May
Salary	£3140	£3000	£3100

Pensionable pay comprises the total pensionable earnings for 3 full periods prior to the reduced pay so: £3140 + £3000 + £3100 = £9240

Annual assumed pensionable pay (APP) is £9240 / 12 x 52 = £40,040

Annual APP is applied to the entire reduced pay absence. Jonas is on reduced pay absence from 15/06/2022 – 03/09/2022

Monthly APP is £40,040 / 52 * 4 = £3080

In June (period 01-June to 28-June) and September (period 24-August to 20-September), the employer contributions are calculated based on prorated APP days and Prorated Permenent Pensionable Pay days.

Sick Absence Rate	Dates	Employee Contribution Base	Employer Contribution Base
Paid at fully pay Paid at reduced pay	1 – 14 June 15 - 28 June	Actual pensionable pay £2700 / 28 14 = £1350 Plus £2700 / 2 = £1350 Half Pay £1350 / 28 14 = £675 In total £2025	Permanent Pensionable Pay £2700 / 28 14 = £1350 Plus Annualized Pensionable Pay 3080 / 28 14 = £1540 In total £2890
Paid at reduced pay	29 June – 26 July	Actual pensionable pay £2500/2 = £1250 Half Pay	£3080
Paid at reduced pay	27 July – 23 August	Actual pensionable pay £2400/2 = £1200 Half Pay	£3080
Paid at reduced pay Paid at full pay	24 Ausust – 03 September 04 – 20 September	Actual pensionable pay £2500/2 = £1250 Half Pay £1250 / 28 11 = £491,08 Plus Actual pensionable pay £2500 / 28 17 = £1517,86 In total £2008,94	11 days prorated APP £3080/2811 = £1210 Plus 17 days prorated Permanent Pensionable Pay for this month £2500/ 2817 = £1517,86 In total £2727,86