Scheme GMPF Teachers Pensions (TP) TP Protected Members joined pre 1/1/07

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1 Scheme GMPF Teachers Pensions (TP) TP Protected Members joined pre 1/1/07 TP Protected Members joined 1/1/07-31/3/15 USS Membership (All members) post 1/4/16 Detail GMPF Membership post 1/4/14 GMPF Membership pre 1/4/14 TP Membership post 1/4/15 Type of Career Average Career Average Career Revalued Career Revalued Scheme Benefits (CAB) Final Salary (CA) Final Salary Final Salary Benefits (CRB) Benefits (CRB) Final Salary Normal Pension Age 65 + (SPA) (SPA) (SPA) 65 + (SPA) 65 + (SPA) 1/60 (1/80 pre 1/57 (Plus 1.6% Accrual Rate 1/49 1/4/08) if active) 1/80 1/60 1/75 1/80 1/80 Pension calculation Lump sum CPI at If joined pre 1/4/08 automatic lump sum 3x, can also convert pension. If post 1/4/08 no automatic 1.6% + Treasury order* 3x final full time salary Pensionable pay at Automatic lump sum 3x, can convert pension for more 3x Final Average Salary Pensionable pay at convert pension /accrual rate + CPI Automatic lump sum 3/75, can convert pension for more USS USS Membership joined post 1/10/11 CPI Automatic lump sum 3/80, can for more USS Membership joined pre 1/10/11 at Automatic lump sum 3/80, can for more Death in service grant 3x Annual Salary 3x Annual Salary 3x Final Average Salary 3x Annual Salary 3x Annual Salary 3x Annual Salary Rate 5.5% % Varied 7.4% % Varied Varied 8% 6.50% 7.50%

2 Scheme GMPF Teachers Pensions (TP) USS Difference based on pensionable Employer 21.40% Options Increased based on full time Varied (19.1% prev) Had based on pensionable 16.48% from 1/9/15 (14.10% based on full time salary Flexibilities AVC's Had AVC's AVC's AVC's AVC's Flexibilities Buy Extra or lost Pension (APC) Past Added Years (no longer Flexibilities death benefits for dependants longer Transfer In Club membership Had ability to Transfer In rights Transfers go into CAB into Final Salary based on full time salary Set amount Set amount Set amount prev) 14.10% 14.10% 18% 16% 16% (up (up (up to 2 to 3 phases) to 2 phases) phases) Faster Accrual (1/55, 1/50, 1/45) Buy out (of reduction for retiring early) Transfers go into CA Past Added Years (no longer longer into Final Salary Past Added Years (no longer longer into Final Salary Range of funds to be available AVC's AVC's No (withdrawn from club membership) Transfers go into CRB DC into CRB into Final Salary

3 Key Denotes main/current Note The GMPF changed on 1/4/14 to move from Final Salary to Career Average. All members moved to career average from this date. Members with benefits prior to this date will not lose this membership, but their pension will usually be based on both s. Final salary protections apply in that the final salary you earn when you retire will be used for your final salary membership, as opposed to the salary you were on when the changed. Protections were put in place for those nearing, where if you would have been better off prior to the change, your pension can be calculated using the Final Salary methods alone. The TPS changed on 1/4/15 to move from Final Salary to Career Average. Protections were put in place for those nearing, where some members will be fully protected and remain in the Final Salary until they retire, and some are partly protected and will move over to Career Average at a later date. For those moving into career average on 1/4/15 or later, final salary protections apply in that the final salary you earn when you retire will be used for your final salary membership, as opposed to the salary you were on when the changed. The USS changed on 1/4/16 to move those remaining staff in the Final salary to the career average. For those with final salary membership, it is the salary as at 31/3/16 (increased in line with inflation) that is used to calculate your pension when you retire. New members and those already in the career average will have a new better accrual rate applied to membership from 1/4/16. All of the Final salary s are closed to new entrants. Glossary of terms Career Average Scheme is referred to as career average (CA), career average revalued (CARE), career average benefits (CAB), and Career Revalued Benefits (CRB), but all refer to a where s annual salary is taken into account for pension purposes and your pension is based on your, and length of membership. Final Salary Scheme is where the final salary that you earn when you retire and your length of membership are used to calculate your pension.

4 Accrual rate is the fraction of salary that is used to calculate pension. The lower the second number, the better. Lump Sum a tax-free payment when you retire Normal Pension Age (SPA) - State Pension Age AVC s are Voluntary s Transfer In Club Membership some public sector bodies, Councils and Colleges are in the Public Sector Transfer Club, which means that they will accept pension transfers from other companies within the club, with more favourable transfer rates for s. * Treasury order is usually in line with CPI, but could be amended by Government Examples Accrual Rate Example 1 = 1/49 Example 2 = 1/75 Pensionable Service 20 years 20 years Final salary 30,000 30,000 Accrual rate 1/49 1/75 Calculation 20/49*30,000 20/75*30,000 Pension per year 12, ,000

5 Rates 1 April March 2018 GMPF Teachers Pension USS Actual Pensionable Pay Rate Whole time Equivalent Pay Rate Rate Main Section 50/50 Section Up to 13, % 2.75% 26, , % 13, , % 2.90% 35, , % 21, , % 3.25% 41, , % 34, , % 3.40% 55, , % 43, , % 4.25% 75, and above 11.70% 60, , % 4.95% 86, , % 5.25% 101, , % 5.70% 151, and above 12.50% 6.25% Up to 25, % 8% Rate