Selectapension TVAS - GMP Query
bombingalong
Member
Hi all,
Can anyone help me with a GMP query on Selectapension?
We are currently reviewing a DB scheme for a client which includes a very small amount of GMP Equalisation Uplift. This is in addition to the main scheme benefits.
Client is 2 years away from his NRD.
I have spoken with Selectapension who are unsure how to deal with this (they have not come across this before). They will look into this for me.
I am just wondering if anyone has come across this before? How did you deal with this?
Many thanks.
Can anyone help me with a GMP query on Selectapension?
We are currently reviewing a DB scheme for a client which includes a very small amount of GMP Equalisation Uplift. This is in addition to the main scheme benefits.
Client is 2 years away from his NRD.
I have spoken with Selectapension who are unsure how to deal with this (they have not come across this before). They will look into this for me.
I am just wondering if anyone has come across this before? How did you deal with this?
Many thanks.
Comments
You've said that it is in addition to the main scheme benefits, so I assume that the scheme administrators have given you a separate figure for the uplift.
You should just be able to enter it as a separate slice of post'88 GMP (my understanding of GMP Eq Uplift is that it's all GMP between May 1990 and April 1997), with the appropriate revaluation in deferment and 50% spouse's pension with CPI/3% escalation in payment.
Ben
Is this not the same as a bridging pension that stops at SPA? Select a pension has that option and also have an option to have it as in addition to the existing benefits or as part of?
N
Some interesting links below for those seriously interested in GMP equalisation (which is going to carry through into DB advice in the next 24 months). I reckon you can count at least an hour of structured CPD (if you don't fall asleep first!) with the following learning outcomes
- Understand the history of defined benefit scheme gender equalisation
- Understand the challenges faced by schemes in implementing the equalisation for GMP element of scheme benefits
- Outline the options being considered by the Government to deal with GMP equalisation within the public sector and how this could affect private sector schemes.
Links...The history of the why (and note that this was written the last time the Gov looked at options 5 years ago!):
http://www.pensionsage.com/pa/march-equalisation-here-we-go-again
The actual consultation (just closed)
https://www.gov.uk/government/consultations/indexation-and-equalisation-of-gmp-in-public-service-pension-schemes/consultation-on-indexation-and-equalisation-of-gmp-in-public-service-pension-schemes
A Towers Watson precis of the current consultation:
https://www.towerswatson.com/en-GB/Insights/Newsletters/Europe/UK-Corporate-and-Trustee-Briefing/2016/12/New-consultation-on-GMP-equalisation