Monthly Data Reports And End Of Year Procedure
These pages are for employer use only. Member information can be found on the home page.
Monthly Data Reports
The LGPS is a Career Average Re-Valued Earnings (CARE) Defined Benefits Scheme for members with service from 1 April 2014. For service to 31 March 2014 it is still a final salary Defined Benefits Scheme. As an employer there is data that you must submit to the Pensions Team in respect of your Scheme members on a monthly basis to ensure your employee pension records are accurate.
The preferred method of data transfer to Shropshire County Pension Fund is to complete an online return or data extract via a system called iConnect.
iConnect simplifies employer duties and will allow you as a Scheme employer to submit the monthly CARE pay and contributions and automatically update the year to date totals onto the Pensions system. You will also be able to notify the Fund of any new starters, part time hours changes, personal details changes and leavers (although a PEN007 form will still need to be completed for leavers).
To use iConnect you simply enter information or submit a file about your employees into the iConnect application using a web browser. iConnect then automatically identifies and sends information about new joiners, opt‑outs and leavers, together with pay and contributions to the pension fund.
- Reduces employer time and costs
- Addresses auto enrolment obligations
- Reduced the need for paper forms
- Improves scheme governance
- Provides secure transfer of data to the Fund
An iConnect user’s guide is available for employers on request from the pensions team.
Payment of monthly contributions
All pension contributions to The Shropshire County Pension Fund must be made no later than the 19th of the month following the month in which they have been deducted.
All late contributions are recorded as a breach by the Pension Fund. Repeated breaches could result in the scheme employer being reported to The Pensions Regulator.
Regulators treat the failure to do this as a serious offence, which could lead to the Scheme Employer being heavily fined. The full list of employer responsibilities can be found in the Administration Strategy Statement.
Interest is due on the late payment of contributions at the rate of 1% above bank base rate.
What to include with your payment
At the time you send the monthly pension contributions to The Shropshire County Pension Fund, you must also ensure that your iconnect report has been uploaded.
If you do not have the payment details for Shropshire County Pension Fund, please contact the Fund. Details can be found on the bottom of this page.
Payment of Deficit
Some employers will have to make a monthly lump sum payment for the deficit amount. This will have been calculated at the Actuarial Valuation and will increase each financial year. You will be sent a schedule in February for the forthcoming financial year. This will detail the amount that needs to be paid as an annual amount or by monthly installments. It will also include how to pay. If you do not receive this schedule please contact Cheryl.firstname.lastname@example.org
Payment of Additional Voluntary Contributions (AVCs) to Prudential Assurance
Prudential Assurance will provide each employer with a schedule of new entrants each month. The relevant deductions should then be paid to Prudential by the 19th of each month, following the deduction from the members’ salary. A schedule should then be e-mailed or sent on a disc in order for the payment to be reconciled. Please note the maximum contributions that can be made to an AVC facility is 100% of the member’s gross salary (after statutory deductions).
Year End Procedure
At year end you will be sent a letter and 2 forms (lgs121a and lgs 121b) by email to the contact we hold who has the responsibility for Finance in your organisation. As data will have been submitted via iConnect during the year, month 12 will complete the year to date for contributions, and the pay required. Therefore, a separate return is not needed. You will need to return the signed statement (lgs121a) which is the balance that the contributions you have deducted during the year and submitted to the Fund agree with the payments you have made. You will also be required to sign a Compliance Statement (lgs121b) which gives assurance to the Fund that you are complying with the LGPS Regulations.
If you have not received an email regarding year end by the end of March please contact Cheryl.email@example.com