Divorce

The net Cash Equivalent transfer Value (CETV) of your ex-spouse’s accrued pension rights allocated to you under a Pension Sharing Order provides you with a LGPS Pension Credit. This is made up of an annual pension. SYPA should have given you details about the value of the pension provided by the CETV.

Inflation-proofing

Your pension credit is fully inflation-proofed both before and after it has been brought into payment. The increases are made in line with the standard cost of living.

Normal pension age

Your benefits are due for payment at your normal pension age. However reduced benefits can be paid from age 55 onwards if you elect to receive them. Normal Pension Age is linked to your State Pension Age for benefits built up from April 2014 (but with a minimum of age 65) and is the age at which you can take the pension you have built up in full. If you choose to take your pension before your Normal Pension Age it will be reduced, as it’s being paid earlier. If you take it later than your Normal Pension Age it’s increased because it’s being paid later. You must draw your benefits in the LGPS before your 75th birthday. Remember that your State Pension Age may change in the future and this would also change your Normal Pension Age in the LGPS for benefits awarded after 31st March 2014.

Due to serious ill-health

In the case of serious ill health, that is an illness that gives rise to life expectancy of less than one year, a pension would be paid as a one-off payment equal to 5 years’ pension payments. To apply for early payment on these grounds you should contact SYPA, who will then refer your case to an independent registered medical practitioner.

Generally speaking, a Pension Credit you have been awarded is personal to you and once in payment is payable for life. However, if you re-marry or re-register a civil partnership that later ends in divorce or dissolution, your benefits may be permanently affected as they could become subject to pension sharing.

Death grant

A death grant would only be payable if, when you die:

• your pension has not yet been brought into payment. A lump sum death grant equal to three times your annual pension, including inflation-proofing would be payable; or

• your pension has come into payment and you have been receiving it for less than 5 years, there would be a death grant equal to 5 years’ pension less all payments already made. SYPA have the discretion to pay the death grant to any beneficiaries you have nominated, if you have a valid nomination in force, or to your estate. A nomination form can be found in the back of this booklet. If you do complete it please remember to review it from time to time. Further nominations forms can be obtained from SYPA: Link to nomination form request?

Survivors’ benefits

The Pension Credit is your personal benefit with no survivors’ benefits attached. There is no provision for a survivors’ pension should you later marry or register a civil partnership. Children’s pensions remain linked to your ex-spouse’s benefits and are unaffected by the pension sharing.

Although you have decided to leave your Pension Credit in the LGPS you may wish to transfer it to another scheme at a later date. You can do this at any time up to one year before your normal pension age so, if you decide later that you would like a transfer to another scheme to be investigated, complete the transfer request form that you will find at the back of this book. Once completed the form should be sent to SYPA.

If you change your name/address/email address it is important to keep SYPA informed. You can amend your details: Change of address