Annual Benefits Statement for Active Members | Shropshire County Pension fund

Shropshire County Pension fund

Taking care of your Local Government Pension in Shropshire

Annual Benefits Statement for Active Members

Posted on by Admin-2

Annual Benefit Statements 2015 for Active members of the LGPS are due to land on doorstops on 26th August. This does not include Firefighter statements which will be released later in the year.

Below are some of the most frequent questions we get asked once the ABS have been issued. We would recommend you read these questions and answers before contacting the Pensions Team with a query:

Why does my statement look different to last years?

On 1 April 2014 the LGPS changed from a Final Salary Pension Scheme to a Career Average Revalued Earnings (CARE) Scheme. This is the first year your ABS has included details of your CARE pension benefits. The notes accompanying your ABS give a section by section account of what your ABS shows and how we calculate the figures.

Also, you may have noticed a number of logos for other Pension Funds. This year we have worked collaboratively with a number of other Pension Funds, on the statements, to share ideas and costs.

The pay figures shown in ‘Section 3 – How your pension is calculated’ are wrong. What should I do?

The benefits shown in this statement are based on these pay figures so it is important that these are correct. These pay figures have been supplied by your employer. If you believe them to be incorrect then please contact your employer directly.

Why is my survivor pension zero?

We will not display a survivor’s pension if your partnership status held on our record is currently ‘single’, ‘divorced’, ‘widow or ‘widower’. If any of these details are incorrect please forward the relevant marriage/civil partnership certificate to the Pensions Team.

How do I change make or change my nominations in Section 5?

Please complete the Death Grant Expression of wish Form that can be found below.

Can I increase my pension contributions?

Yes, you can increase your benefits by purchasing Additional Voluntary Contributions (AVCs) or Additional Pension Contributions (APCs). Please see the Topping up your benefits’ page of this website for more details.

What is the Reduced Annual Pension and Increased Lump Sum Retirement Grant (shown in Section 2 of my ABS)?

Upon retirement, you can, subject to certain limits, convert some of your pension into a tax free lump sum at a rate of £1 of pension for each £12 of tax free lump sum. You can convert up to 25% of the capital value of your pension (as determined by HMRC).

The figures shown on the statement are based on the benefits built up until 31 March which are payable from Normal Pension Age and give the reduced pension and subsequent lump sum assuming you took the full 25% conversion.

The percentage of my Lifetime Allowance used in Section 7 of my statement is over 100%. What does this mean?

Lifetime Allowance (LTA) is the total value of all the pension benefits you can have, across all tax-registered pension arrangements, without having to pay a tax charge on the excess over the LTA when you take payment of your benefits.

If the percentage of LTA used, shown on this statement is over 100%, you may have to pay tax on the excess, when you take payment of your benefits.  

When you come to retire we will provide you with more information regarding your LTA.

How do I get further information about my LGPS pension?

You can log onto our ‘Member Self Service’ area to view your LGPS benefits and make your own calculations. If you haven’t registered to view your record before you will need to register your email address with the Pensions Team.

 

 

This entry was posted in Benefit Statements. Bookmark the permalink.