This section contains guidance issued by Scottish Ministers which administering authorities will need to have regard to in administering the LGPS from April 2015.

Actuarial Guidance

This section contains actuarial guidance which administering authorities will need to have regard to in administering the LGPS from April 2015, split by a) actuarial guidance issued under either the LGPS (Scotland) Regulations 2014 or the LGPS (Transitional Provisions and Savings) (Scotland) Regulations 2014, and b) actuarial guidance issued under previous regulations, but which continues to apply from April 2015 in respect of certain transitional provisions.

Addenda to some of the below pieces of actuarial guidance have been issued to Scottish administering authorities by SPPA. Where this applies to a particular piece of actuarial guidance, the addendum has been included in the final column of the below table. Each of the addenda issued on 19th April 2016 have a backdated implementation date of 16th March 2016.

Actuarial guidance issued under LGPS (Scotland) Regulations 2014 or LGPS (Transitional Provisions and Savings) (Scotland) Regulations 2014

Operative date

Description

Documents (PDF)

26th February 2015 Scottish Ministers' actuarial guidance on calculating the capital value of a member's accrued rights for the purposes of determining the maximum lump sum the member may take at retirement.

Additional cash commutation guidance

26th February 2015 Scottish Ministers' actuarial guidance on the amount of contributions to be paid by a member purchasing additional pension or by an employing authority purchasing additional pension for a member. Please note the January 2017 addendum containing new factors for those over NPA making an application to purchase additional pension on and after 23rd January 2017.

Additional pension guidance

Addendum - Jan 2017

Addendum - May 2016

26th February 2015 Scottish Ministers' actuarial guidance on the reduction of a member's pension rights following an election for an Annual Allowance charge to be met by the Scheme (where the offset election was made on or after 1st April 2015). For elections prior to 1st April 2015, please see the guidance in the below table dated 25th February 2015).

Annual allowance charges: calculation of Scheme Pays offset guidance (elections on or after 1st April 2015)

Addendum - May 2016

26th February 2015 Scottish Ministers' actuarial guidance on the calculation of additional pension payable from the Scheme to a retiring member arising from any additional voluntary contributions that are not taken as cash or used to arrange a drawdown facility or to secure an annuity with an insurance company.

AVCs guidance - use to provide additional pension under the Scheme

26th February 2015 Scottish Ministers' actuarial guidance on the reduction in benefits for members who retire before they have a right to take unreduced benefits, i.e. on the voluntary early payment of pension.

Early retirement guidance

26th February 2015 Scottish Ministers' actuarial guidance on how any benefits under the Earlier Regulations paid to a member on flexible retirement shall be taken into account in any subsequent calculation of his or her benefits.

Flexible retirement guidance

26th February 2015 Scottish Ministers' actuarial guidance on the transfer payment made from one fund to another when a member exercises the option to aggregate the past period of service with the current period.

Interfund transfers guidance

23rd January 2017 Scottish Ministers' actuarial guidance on late retirement increases to benefits payable after normal pension age.Please note that the updated guidance issued in January 2017 is effective for late retirements taking place on and after 24th June 2017.

Late retirement guidance - Jan 2017

Late retirement guidance - Feb 2015

26th February 2015 Scottish Ministers' actuarial guidance on the calculation of the capital value of a member's benefits from the Scheme in order to compare that capital value against the member's lifetime allowance and to make adjustments where relevant.

Lifetime allowance guidance

26th February 2015 Scottish Ministers' actuarial guidance on the calculation of the pension credit for the former spouse or civil partner (the 'pension credit' member) following a divorce proceeding (where the debited member has been a member of the 2015 Scheme and the Transfer day is on or after 1 April 2015). Where the sharing order is dated prior to 1 April 2015, or where the member had left service before 1 April 2015, the previous guidance dated 7 March 2013 should be used.

Pension credits guidance

Addendum - May 2016

26th February 2015 Scottish Ministers' actuarial guidance on the debit applied to a member's pension due to pension sharing on divorce where the Transfer day is on or after 1 April 2015.

Pension debits guidance

20th May 2015 Scottish Ministers' actuarial guidance on the earned pension credited to a member's pension account where a transfer value has been accepted and in respect of transfers out of the LGPS (where the relevant date is on or after 1 April 2015). An earlier version of this guidance was previously in effect, operative from 2nd April 2015 to 19th May 2015.

Transfer guidance - individual and Club

GMP adjustment addendum - April 2016

Transfer factors [PDF] - issued March 2015

Transfer factors [PDF] - updated April 2016

Transfer factors [PDF] - updated March 2017

26th February 2015 Scottish Ministers' actuarial guidance on the calculation of the amounts payable on trivial commutation of a pension, either on a member's retirement, or following a member's death.

Trivial commutation guidance

Addendum - August 2016

Actuarial guidance issued under earlier LGPS Regulations

Actuarial guidance issued under earlier LGPS Regulations but which continues to apply from April 2015 under certain transitional provisions. This is based on the list of extant actuarial guidance published by SPPA in April 2015, located here.

Operative date

Description

Documents (PDF)

13 March 2013 Scottish ministers' actuarial guidance on the purchase of additional pension for elections prior to April 2012 under the LGPS (Benefits, Membership and Contributions) (Scotland) Regulations 2008. The file in the right hand column includes an addendum with new factors issued on 6 March 2014.

Additional pensions guidance - elections before 1 April 2012

1 April 2012 Scottish ministers' actuarial guidance on the purchase of additional pension for elections between April 2012 and March 2015 under the LGPS (Benefits, Membership and Contributions) (Scotland) Regulations 2008. The file in the right hand column includes an addendum with new factors issued on 6 March 2014.

Additional pensions guidance - elections on or after 1 April 2012 and before 1 April 2015

22 August 2016 Scottish Ministers' actuarial guidance on the purchase of additional survivor benefits for elections made prior to April 2016 under the LGPS (Benefits, Membership and Contributions) (Scotland) Regulations 2008.

Additional survivor benefits purchase guidance

Prior guidance [withdrawn 21 August 2016]

25th February 2015 Scottish Ministers' actuarial guidance on the reduction of a member's pension rights following an election for an Annual Allowance charge to be met by the Scheme (where the offset election was made before 1st April 2015).

Annual allowance charges: calculation of Scheme Pays offset guidance (elections prior to 1st April 2015)

20 December 2012 Scottish ministers' actuarial guidance on the application of a pension credit to the former spouse or civil partner of the member [transfer day prior to 1 April 2015 or member left service before that date]

Pension credit guidance

Addendum - May 2016

7 March 2013 GAD guidance on the application of a pension debit for a divorced member where the Transfer day was before 1 April 2015.

Pension debits guidance

Update to Table A

18 January 2012 Scottish ministers' actuarial factors for pensioner cash equivalent transfers on divorce. Please note that this guidance should be read in conjunction with the guidance “Pension sharing following divorce: Calculation of Cash Equivalent" (issued on 23 May 2011 - see link in the next column).

Pensioner cash equivalent on divorce factors [PDF]

Pensioner cash equivalent on divorce factors [Excel]

Pension sharing following divorce - calculation of cash equivalents

GMP adjustment addendum - April 2016

25 October 2011 Scottish ministers' actuarial guidance on the adjustment of transfer credits granted from accumulated AVCs under regulation 65(8) of the LGPS (Scotland) Regulations 1998.

Transfers guidance - adjustment of credit granted from accumulated AVCs

26 March 2010 Scottish ministers' actuarial guidance on individual incoming and outgoing transfers for non-Club transfers in with effective dates prior to 1 April 2015. See also the link in the next table for the actuarial factors to be used in conjunction with this guidance). Transfers guidance - individual incoming and outgoing

Actuarial factors