7.1.3 Members who leave on or after the scheme pension age must receive payment of their benefits as soon as possible after their last day of service.

7.1.4 Table 1 below tells you what action to take when a classicclassic pluspremiumnuvos or alpha member tells you that they are retiring.

Table 1 Action to take when a classic, classic plus,   premium, nuvos or alpha member tells you that they are retiring.

Communications with scheme members:

You must agree with the Scheme Administrator arrangements to invite members who are within two years of their scheme pension age to attend a pre-retirement course.

The course will cover:

  • what happens to a pension when members decide to draw it;
  • forms and communications members will receive about drawing benefits;  
  • members benefits and what will appear on Pension Savings Statements;  
  • different types of retirement (including Actuarially Reduced Retirement, Partial Retirement and Re-Employment);
  • topping up benefits on leaving; and  
  • family benefits.

Records:

You must keep any records that can affect members pension benefits (see Section 5.2 – ‘Member records’ for details).

Data Quality:

It is your responsibility to ensure that member data provided to the Scheme Administrator is accurate and up to date to ensure that pension payments will be correct (see Section 8 – ‘Compendia, payroll and data responsibilities’ for further information).

You must make sure that you give the Scheme Administrator sufficient information to take the necessary actions to make the pensions payments on time.

Pension payments: 

If possible, give the Scheme Administrator at least four months’ notice of the expected retirement date so that they can take appropriate action to pay the pension on time.

You should notify the Scheme Administrator of the impending retirement using the Request for Services (RFS) form available in the Employer Forms section of the website. 

The Scheme Administrator will give the member information over a two staged process

At the initial quote stage: 

  • Written information on the following as applicable:
    • a statement of the estimated benefits payable;
    • options for giving up some of the pension for a lump sum/ lump sum in addition to the standard;
    • options for giving up all or part of the lump sum for an increase in pension;
    • pension payment procedures;
    • the Lifetime Allowance and Annual Allowance; and
    • allocation arrangements. 
  • A pension application form. 
  • An enquiries/returns address. 
  • A reminder to the person leaving to provide any requested documents and return the application form promptly so that benefits can be paid promptly.

 

At the finalisation stage:

  •   Written information on the following:
    • the final benefits payable;
    • pension payment procedures;
    • taxation of pension benefits; and
    • the possibility of the benefits being revised after payment.
  • A Lifetime Allowance Certificate.  
  • A list of useful contact numbers.

 

7.1.5 As stated in Table 1, the Scheme Administrator offers a pre-retirement course. Although members should be invited to the course if they are within two years of their planned retirement date, the course is available for any members within ten years of their intended retirement date. To find out more information regarding these sessions, including costs, please contact the Scheme Administrator Training Team at training@mycsp.co.uk or alternatively contact your Employer Relationship Manager.

7.1.6 You should also encourage members who are considering retirement to use the Retirement Modeller available in the Members section of the website. Members can use the Retirement Modeller to estimate what their pension benefits could be worth when they retire. This online tool enables members to compare up to five ‘personalised’ estimates based on different retirement options, allowing them to see which retirement option suits them the best.

7.1.7 The information that the Scheme Administrator provides to members is based on the data you provide. As the benefits processed at finalisation stage are usually calculated prior to a member’s last day of service, final pay figures may be different and this could affect the benefits that are actually paid. If there is a change to the final pay figures after a member’s last day, the Scheme Administrator will recalculate the benefits and write to the member to advise.

7.1.8 Blank 

Published:
5 January 2022
Last updated:
28 January 2022