Name
Date of Birth:
National Insurance Number:
Date Pensionable Service Commenced:
Full Time Equivalent Salary:
Your current benefits in the Royal Free Hospital School of Medicine
Pension and Assurance Scheme (“the Scheme”)
Service:
###
Accrued pension: £###
(Including NIL in respect of service prior to 1 August 1989)
Your proposed new benefits in SAUL
Service:
## years ## days
Accrued pension:
Accrued cash lump sum:
£###
£###
Exchanging cash for pension
The way in which benefits build up in SAUL is different from in the Scheme. In the Scheme
you earn a pension of 1/60th of salary for each year of service and can opt to exchange part
of this for a cash lump sump on retirement.
th
In SAUL, for each year of service you accrue a pension of 1/80 of salary and a cash lump
th
sum of 3/80 of salary payable on retirement.
When you retire in SAUL, you will have several options; 1) To take the pension and cash
lump outlined above; 2) To exchange part of your pension for an extra cash lump sum; or 3)
To exchange part of your cash lump sum for extra pension.
For ease of comparison with your current accrued pension in the Scheme, we have shown
below the total pension available in SAUL if you were to choose to exchange all of your cash
lump sum for additional pension. The rate of converting pension for cash varies depending on
when you retire and the figure below is based on the conversion taking place at age 60, which
is the earliest you can retire in SAUL without your benefits being reduced for early payment.
Total pension in SAUL if you exchange your cash lump sum for extra pension at age 60:
£###.
Accrued pension
Your accrued pension represents your benefits in respect of service prior to 1 July 2012. If
your details change before then, for example if your salary changes, you leave service or you
change your working hours, then your benefit entitlement may change accordingly.
Your accrued pension above does not include any allowance for potential service after
1 July 2012.
Your accrued pension in the Scheme includes any pension that you have previously
purchased by transferring-in benefits from another pension arrangement. These transferredin benefits have been converted into additional years of service in SAUL, which are included
in the figures above.
Pension increases in payment
The way in which pensions increase each year while in payment is also different for the two
pension schemes.
The Scheme
Benefits in respect of service prior to 1 August 1989 increase at the greater of 5% pa
or the annual increase in the Retail Prices Index.
Benefits in respect of service after 31 July 1989 increase in line with the annual
increase in the Retail Prices Index.
The exception to this is any Guaranteed Minimum Pension that you may have
accrued between 22 June 1994 and 6 April 1997, which will increase by 3% pa.
SAUL
Your pension in excess of any Guaranteed Minimum Pension (GMP) will increase in
line with price inflation in accordance with the Pensions (Increase) Act 1971. In recent
years these increases have been based on the Consumer Prices Index (CPI). Your
GMP in respect of service after 5 April 1988 will increase in line with CPI subject to a
maximum of 3% p.a.
Salary
The salary used in the calculation of your accrued benefits in the Scheme is your basic
annual salary plus any London allowance as at 31 July 2011. On leaving or retiring from
SAUL the salary used to calculate your benefits will be calculated as the higher of
Your highest salary paid over any one of the three years before you retire (or leave or
die); or
The highest yearly average of your salary in any group of three years during the 13
years before you retire (or leave or die).
Note for part-timer employees
If you are a part-time employee then the full-time equivalent salary shown above represents
your salary adjusted to the full time equivalent salary payable to a full-time employee. A
corresponding reduction has been applied to your service to reflect your current working
hours and any historic part-time hours. This is the same approach that has always applied in
the Scheme in the past.
Additional notes
All basic information is as shown in UCL’s records and any discrepancies should be reported
to UCL.
There are numerous differences between the relevant benefits provided by the two schemes
that are not covered in this statement. A comparison of some of the key features of both
schemes is provided in the Guide issued as part of the formal consultation. Details of the
SAUL benefits are described in the SAUL member booklet provided.
The benefits shown include any benefit derived from transfers into the Scheme from other
pension arrangements.