NEWS UPDATES FOR MEMBERS OF THE LOCAL GOVERNMENT PENSION SCHEME IN WILTSHIRE

Transcription

1 Retired Members NEWSLETTER 2017 NEWS UPDATES FOR MEMBERS OF THE LOCAL GOVERNMENT PENSION SCHEME IN WILTSHIRE WPN2017 v3.1.indd 1 04/04/ :49

2 Welcome to your 2017 edition of the Newsletter for Retired Members. In this edition we will provide you with the important annual information regarding your pension benefits including tax and P60 information, the pay dates for the year and of course the pension increase for We will also provide details of our annual accounts and other information that we feel may be of interest to you. This year we will be holding our first Annual General Meeting (AGM) where we will invite all members of Wiltshire Pension Scheme, including Active, Deferred and Retired members, to attend a day event where you can meet with staff from the pension fund and guest speakers who will be talking about relevant topics. You can find information about the AGM and details of how to book a place on page 18. Give us your feedback! We hope you find the content of this newsletter useful and as always we welcome and would appreciate any feedback or comments that you feel may help with future editions. We would also like to invite you to tell us what you are doing now. Please share any stories or tell us about any interesting hobbies you may have taken up since retiring so that we can publish a members article in our next years edition. You can send your feedback, comments or stories to: Zoe Stannard Fund Communications Manager Wiltshire Pension Fund County Hall Trowbridge Wiltshire BA14 8JN Telephone: / pensioncommunications@wiltshire.gov.uk Pay Dates for 2017 Your pension is normally paid on the 25th of each month; however, if this date falls on a weekend or bank holiday, you will receive your pension on the last banking date before the 25th. The table shows the dates your pension will be paid to you in 2017/2018. Tuesday 25th April 2017 Wednesday 25th October 2017 Thursday 25th May 2017 Friday 24th November 2017 Friday 23rd June 2017 Friday 22nd December 2017 Tuesday 25th July 2017 Thursday 25th January 2018 Friday 25th August 2017 Friday 23rd February 2018 Monday 25th September 2017 Friday 23rd March 2018 LGPS Pension Increase 2017 Your LGPS pensions are increased in April and the increases are based on the rise in the cost of living over the 12 months to the previous September. Based on the Consumer Prices Index (CPI) as at September 2016 your LGPS pension this year will increase by 1%. Your pension is increased part way through April it s on the 10th this year. The payment for April will be the combination of two different annual rates. The first of these is the rate that applies from the 1st to the 9th April and then the 10th to the 30th. This adjustment will be shown on your April payslip. You will then receive the full increase of 1% from your May instalment of pension. All other queries regarding your pension should be directed to the relevant team. Contact details can be found at the back of this newsletter. You can follow Wiltshire Pension Fund on Cover photo: majestic Salisbury Cathedral WPN2017 v3.1.indd /04/ :49

3 Will everyone get the full 1% increase? No, not everyone will get the full increase, which could be for any of the following reasons: z If you retired part way through the year, you will most likely not be entitled to the full year s increase (for example if you retired on 1st September 2016 you might only receive an increase this year of 0.5%; z If you are under the age of 55, unless you retired on the grounds of illhealth, or if your deferred pension was brought into payment early due to ill-health, then your pension will not attract pension increases until your 55th birthday; z If you were retired and also reached age 60 (women)/age 65 (men), or state pension age if this is later, before 6 April 2016 then payment of the increases to your pension may be shared between the LGPS and the State see below for some detail on what this means. Guaranteed Minimum Pension (GMP) Your LGPS pension may comprise of two elements, as follows: z GMP; and z pension in excess of GMP A GMP is an amount equivalent to the pension you (or your partner if you are receiving a survivors pension) would have earned in the State Pension scheme rather than earning pension in the LGPS and applies if you or your partner were a scheme member between 6 April 1978 and 5 April 1997 reaching State Pension Age before 6 April If this applies to you then the way in which your LGPS pension increases will be calculated is summarised below: z Any GMP earned before 6 April 1988 is usually increased by the State each April with the increase being paid as an additional component to your State basic pension. z Any GMP earned after 5 April 1988 is usually increased by the LGPS up to a maximum of 3% each year with any remaining increase being paid by the State as an addition component to your State basic pension. Please note that this year s increase is 1% the Wiltshire Pension Fund will pay the full increase on any post 5 April 1988 GMP element. The balance of your LGPS pension will then increase each year fully in line with the rise in the cost of living. If you were retired and also reached age 60 (women)/age 65 (men), or state pension age if this is later, on or after 6 April 2016, then you will receive the full increase to your LGPS pension from the Wiltshire Fund, even if you have been notified of a GMP amount. The rules around GMPs and what this means for pensions increase are very complicated and what is provided above is a very brief summary. If you do have any questions on how your LGPS pension has increased please contact the Benefits Team. Details can be found in the Contacting Us section of this newsletter. State Pension Increase The basic State Pension and the new State Pension will increase by 2.5% from April The increases are covered by the Governments triple lock promise which currently guarantees the highest of: z Consumer Prices Index (CPI) Inflation z Earnings z 2.5% As CPI was only 1% and earnings rose by only 2.4% the State Pension will increase by the higher amount of 2.5% this year. This will mean: A rise in the basic state pension from to A rise in the new State Pension from to For more on the State Pension Increase you can visit: The State Pension has changed In our 2016 Newsletter we told you about changes to the State Pension from 6 April 2016 for people who reach State Pension Age on or after that date. This affects you if you are a man born on or after 6 April 1951 or a woman born on or after 6 April WPN2017 v3.1.indd /04/ :49

4 We would like to remind you that if you reached your State Pension Age before 6 April 2016, you are not affected by the changes even if you put off claiming your State Pension. Also the pension you receive from Wiltshire Pension Fund is unaffected by these changes. You can find more information including a Q&A factsheet on our news updates page on our website and by visiting Pay and Tax Allowances You will receive a payslip in March showing your pension paid to you for the financial year and a payslip in April and May which will show any tax changes or effects of any pension increase. You will not be sent another payslip during the year unless your net pension payment changes by more than 5 from the previous month. You will also be issued with a P60 certificate by the end of May which will be a summary of your pension and tax details for the 2016/2017 tax year, which ends on 5 April Please keep the P60 information safe as other organisations may ask to see it as a proof of earnings if you need to make a claim for any benefits such as a tax rebate or state benefits such as Tax Credits. Personal Tax Allowances The pension you receive from Wiltshire Pension Fund is classed as taxable income. However, everyone has a Personal Allowance which is tax free. This is the amount you can earn before you start to pay income tax. Married Couple s Tax Allowance The Marriage Allowance lets you transfer 10% of the personal allowance to your husband, wife or civil partner if they earn more than you. For the 2017/2018 tax year you can transfer 1,500 of your personal allowance. This will reduce their tax liability. To benefit as a couple, you as the lower earner need to have an income of 11,500 or less (in other words you will not be paying tax on any of your earnings). You are unable to transfer more or less than 1,500. If your application is successful your tax free personal allowance will be reduced by 1,500. Your husband, wife or civil partner receiving the transferred amount will have their tax free personal allowance increased by 1,500. If you or your partner were born before 6 April 1935, you might benefit more as a couple by applying for Married Couple s Allowance instead To find out more and to apply for Marriage Allowance please contact HMRC website: If your circumstances changed (e.g. your spouse was deceased or you got divorced) then you would need to contact HMRC in order that they can make the necessary readjustments to your personal allowance. For any tax query including the Marriage Allowance you can: Telephone: Overseas members should dial You will need to quote your National Insurance number and the Wiltshire Pension Fund PAYE reference number when corresponding with the Tax Office 034/W1565 The Government has announced changes to the Personal Allowance for the tax year 2017/2018, although the Personal Allowance Income Limit has remained the same. Details of the allowances are shown below: Personal Allowance 11,500 Income Limit for personal allowance 100,000 If your taxable income is above the Personal Allowance Income Limit then your personal allowance is reduced by 1 for every 2 above the limit. 6 7 WPN2017 v3.1.indd /04/ :49

5 Cohabiting partners and the LGPS A recent UK Supreme Court decision concerning entitlement to a survivor s pension from the LGPS in Northern Ireland for cohabitees has received widespread media coverage in recent weeks. The decision centred on the need for the scheme member to submit a nomination in favour of their partner with whom they have been in an exclusive, cohabiting relationship for a minimum of 2 years, and who was financially dependent (or financially interdependent), in order for that person to be eligible for a survivor pension from the scheme. We thought it would be useful to explain what, if any impact, this decision has on the LGPS in England and Wales. The good news is that the LGPS in England and Wales no longer requires someone to nominate a cohabiting partner to receive their pension benefits, and hasn t done so for some time. So for all current active members, as well as anyone who left the scheme or retired from 1 April 2008 onwards, the recent Supreme Court decision does not have any implications. While it is still possible to provide confirmation of a together with the deceased scheme member as if they were married for a minimum period of two years prior to the scheme member s death. Fraud Look after yourself With cases of fraud on the rise, particularly in the world of Pensions since the new Freedom and Choice legislation was introduced, it is more important than ever to know the signs and ensure you don t fall prey to the scammers. The following information has been taken from the Little Book of Scams - produced by the Metropolitan Police Service - Personal Details When handling personal details never leave them lying around. Only ever give your personal details when absolutely necessary and when you trust the person you are talking to. And remember to always destroy anything containing personal information when you are finished with it. Money Never send money to anyone you don t know or pay to claim prizes. Avoid transferring or sending refunds or overpayments back to anyone you do not know. Always be wary of anyone asking you to use your bank account to transfer money; this could be a front for money laundering. Door to Door If anyone comes to your door, make sure you ask for identification. You DO NOT have to let them in and they must leave if you tell them to. If you are interested in what a doorto-door salesman is offering, do not agree to buy anything, but research their business and be sure to get quotes from other businesses as a comparison. If you are unsure about a trader that comes to your door, contact Citizens Advice Consumer Service. Phone Calls If you receive a phone call always ask for the name of the person you are talking to and who they represent. Check this information by calling the company yourself on a different phone in case the caller is holding the line open. It is best not to respond to text messages or missed calls from unknown numbers as you may be charged if you answer or return the call. Most importantly you should never give out your personal, credit card or bank/building society account details over the phone unless you make the call and the phone number came from a trusted source. Postal If you start to receive post for someone you don t know, find out why. When registering to vote, tick the box to opt out of the Edited register to prevent unsolicited marketing mail. (This does not affect credit checks) and also sign up with the Mail Preference Service to prevent marketing letters. Make sure you protect mail left in communal areas of residential properties. Online Never reply to spam s, even to stop them as this verifies to the scammers that your account is active. Delete all suspicious s without opening them. Legitimate banks and financial institutions will never ask you to click on a link in an to access your account or for your PIN number. Never call a telephone number or trust any contact details in a spam . Further information on how to keep yourself safe can be found on the Pension Fund Website: If you spot a scam or have been scammed don t feel embarrassed to report it and get help. Contact ActionFraud on or online at WPN2017 v3.1.indd /04/ :49

6 National Insurance Database and Tell Us Once We informed you last year that Wiltshire Pension Fund participates in a data sharing arrangement with other LGPS Funds in England, Wales and Scotland. This is because where a member of the LGPS dies, then it is necessary for the Fund to know if that individual has other LGPS benefits elsewhere so that the correct death benefits are paid. Every member of the LGPS (active, deferred or pensioner), has information held on the National Database. This includes an individual s NI Number, membership status and a 4 digit number specific to the appropriate Pension Fund. The data held on the Database will be processed in accordance with the Data Protection Act 1998, and all other relevant legislation. The membership information will be shared with the Department of Work and Pensions (DWP) to enable the LGPS to be a part of the Tell Us Once (TUO) service. TUO is a service that lets you, or your next of kin, report a death to most government organisations in one go. When you, or your next of kin, register a death the registrar will: National Fraud Initiative We are required by law to protect the public funds we administer. We may share information provided to us with other bodies responsible for auditing or administering public funds in order to prevent and detect fraud. The Audit Commission currently requires us to participate in its anti-fraud initiative. For this initiative, we are providing details of pensioners so that they can be compared to information provided by other public bodies. This will ensure, for example, that no pensions are being paid to persons who are deceased or no longer entitled to a benefit. Unfortunately, our payroll department have noticed an increase in phone calls from pensioners about receiving scam calls from organisations claiming to be connected to the HMRC about tax owed or refunds. Please can we take this opportunity to remind you that financial information will never be requested by telephone, or text message. If you are contacted by any of these methods please do not provide any personal or financial information. z Confirm if the TUO service is available in your area z Provide a telephone number and website information; and z Provide a unique reference number to use the TUO service online or by phone Certain information will need to be supplied regarding the person who has died and this will enable TUO to notify certain organisations such as: z HM Revenue and Customs (HMRC) z Department for Work and Pensions (DWP) z Passport Office z Driver and Vehicle Licensing Agency (DVLA) z Local Council z Public Sector or armed forces pension schemes If TUO is not available in your area or you choose not to use it, then you, or your next of kin, will have to let each of the relevant organisations know about the death separately WPN2017 v3.1.indd /04/ :49

7 Death grant in retirement In certain circumstances a Lump Sum Death Grant payment can be due as a taxfree payment. Any lump sum payable depends on when you left the LGPS, and the recipient of any payment due is at the absolute discretion of Wiltshire Council as the administering authority. You can nominate who you would like to receive any lump sum payment by completing an Expression of Wish form which can be downloaded from our website: A lump sum may be payable if you are under the age of 75 at the date of death. How any lump sum would be calculated would depend on the date that you retired from the Scheme. Left before 1st April 2008 A lump sum death grant would have been payable if you left the LGPS before 1st April 2008 and died with less than 5 years pension paid. This period of 5 years has now elapsed. Left between 1st April 2008 and 31st March 2014 A lump sum death grant is payable if you left the Scheme between 1st April 2008 and 31st March 2014 and die under the age of 75 with less than 10 years pension paid (after giving up any pension for a tax-free lump sum). The amount payable is: 10 times your annual pension less the total amount of annual pension already payed to you since retirement. Left after 31st March 2014 A lump sum death grant will be paid if you die and less than 10 years pension has been paid to you and you are under age 75. The amount payable would be based on your membership of the scheme as follows: up any pension for a tax free lump sum), less any pension already paid to you in respect of your post 31st March 2014 membership and the amount of any tax-free cash lump sum you chose to take by giving up some of the pension you built up after 31st March 2014 when you took your pension benefits at retirement. If you are also an active member of the LGPS when you die If you are also an active member of the LGPS and die in service, the death grant payable would be calculated as above or be the death in service lump sum grant of three times your assumed pensionable pay, whichever is greater. Survivor s pension Current scheme regulations allow a survivors pension to be paid in the event of your death to a spouse, civil partner, co-habiting partner or to any eligible children. Survivors pensions become effective from the day after death and any pension that may be payable will depend on the membership you had previously built up and when you left the LGPS. Any spouses benefits payable in the event of your death would depend on the following periods of membership: z Widows pensions are based on membership from 6th April 1978 or the date when you joined the scheme if later z Widowers and civil partners are based on membership after 6th April 1988 or the date when you joined the scheme if later Widowers Pension benefits are based on post 5th April 1988 membership only, unless you are a female member who has previously made an election for any period from 1st April 1972 to 5th April 1988 to count. If you die leaving one or more eligible children, your children are entitled to a child s pension. If there is more than one eligible child, the pension will be shared equally among the children. z Pre April 2014 membership: 10 times your annual pension in respect of your membership of the Scheme before 1st April 2014 (after giving up any pension for a tax-free cash lump sum), less any pension already paid to you in respect of your pre 1st April 2014 membership. z Post March 2014 membership: 10 times your annual pension in respect of your membership in the Scheme after 31st March 2014 (Prior to giving WPN2017 v3.1.indd /04/ :49

8 Annual Report and Accounts Membership of the Scheme 2016 The membership of the scheme at the end of the year are shown in the graph below: Active Members 21,831 Deferred Members 26,517 Pensioner Members 14,905 Statement of Accounts Fund Account for the year ending 31 March 2016 Contributions and benefits Contributions received Individual transfers ,449 2,491 91,940 Benefits payable Payments to and on account of leavers Management Expenses -76,841-3,948-80,789-9,336 1,815 Returns on Investments Investment income Change in market value of investments Net returns on investments Net increase in the fund during the year Add opening net assets of the funds restated Closing net assets of the scheme The full Annual Report can be found on our website: 14 WPN2017 v3.1.indd ,764-27,521-15,757-13,942 1,852,603 1,838,661 Picturesque Bradford on Avon Interesting Wiltshire Facts Bradford on Avon Did you know that one of the most complete and unaltered Saxon buildings in Britain is to be found at Bradford on Avon? St Laurence s Church for some reason was left by the Normans, who built their own place of worship nearby. Development around it hid the building from view for centuries, and it was used as a school, residence and workshop until rediscovered in the 19th century. Built in the 8th century it was renovated in the 10th or 11th, still in Saxon times. Calne Did you know that Joseph Priestley discovered oxygen on 1 August 1774 at Bowood House near Calne? He worked there as librarian to the Earl of Shelbourne and tutor to his sons, and was provided with a room off the library as a laboratory. He separated oxygen from mercury oxide, using the sun s rays focused through a magnifying glass to heat the substance and produce what he named dephlogisticated air, which made a candle burn more brightly than in ordinary air /04/ :49

9 Castle Combe Did you know that most of the village scenes in the 1968 Doctor Doolittle film were shot in Castle Combe? Contrary to the usual tales of everyone loving the experience, villagers were greatly annoyed by some of the actions of the film crew. The most obvious example of this concerned an ugly dam built for the movie: Ranulph Fiennes, at the time in the SAS, tried to blow it up, for which he was later fined 500. Devizes Did you know the longest flight of locks on Britain s waterways is to be found near Devizes? The 29-lock stretch on two miles of the Kennet and Avon Canal climbs 230 foot high Caen Hill, and was understandably the last part of that project to be completed. It takes an experienced user a good five hours to pass through the system designed by the great canal engineer John Rennie. Lacock Did you know that the world s oldest surviving photograph was taken at Lacock Abbey by William Fox Talbot in 1835? It is of the Oriel Window in the library, and though simple it is rather beautiful. William Talbot owned the house, which now has a museum dedicated to his work though that first negative is held at the National Media Museum in Bradford. Did you know that Lacock Abbey was a major location for the first two Harry Potter films? It provided the cloisters and various other Hogwarts interiors. at Crofton Pumping Station to provide water to the higher reaches of the Kennet and Avon Canal. It is still steamed on occasion for the benefit of visitors to the site. Salisbury Did you know that at 404 feet the spire at Salisbury Cathedral is the tallest spire in Britain and its tallest masonry structure? It was at one time the tallest spire in all Europe. The spire was built in 1320, a century after the foundation stone of the main building was laid. Did you know that inside Salisbury Cathedral is the oldest working clock in Britain which dates back to 1386? It is almost certainly also the oldest working mechanical device of any complexity in the world. Incredibly the clock, which has neither hands nor dial but merely marks the passage of time by the striking of bells, was dismantled and set aside in 1884, replaced by a new mechanism. Happily it was rescued in 1929 and restored in Salisbury Cathedral s Chapter House also boasts what is regarded as the best extant copy of Magna Carta. Did you know that William Golding was a teacher at Bishop Wordsworth s School in Salisbury when he wrote Lord of the Flies? His career there began in 1940 and ended in He not only proved a very accurate observer of adolescent male group behaviour, but also disproved if it were necessary that odious cliché that those who can t, teach. Swindon Did you know that Swindon has several James Bond links? Ian Fleming bought and demolished Warneford Place, a house in Sevenhampton to the north of Swindon, and built a new one Sevenhampton Place - in its stead, moving in a year before his death in The novelist is buried in the churchyard of St James s Church there. And two Bond movies - A View to a Kill and The World is not Enough - had scenes shot at industrial sites in the town. Malmesbury Did you know that Eilmer, probably our first aviator, made his maiden flight from the Abbey tower in Malmesbury in the 11th century? He supposedly glided more than 200m before losing control and breaking his legs. Eilmer once recovered wanted to go again, with some design changes, but sadly his abbot stopped him. Marlborough Did you know that the oldest working beam-engine in the world is to be found at Crofton, near Marlborough? The 42-inch bore Boulton and Watt machine was built in 1812, fitted 16 WPN2017 v3.1.indd /04/ :49

10 Wiltshire Pension Fund Fund - Retired - Members Newsletter Annual General Meeting (AGM) Wiltshire Pension Fund would like to invite you to our first AGM to be held on Wednesday 21st June 2017 in Trowbridge. At this meeting you will be provided with a summary of the fund s performance over the last year, and we will have guest speakers with topics that will be of general interest to you as members. After the presentations there will be a panel of Senior Managers and staff from the Wiltshire Pension Fund Benefits Team available to answer questions. The meeting will commence at 10:00am with refreshments from 9.30am. To assist us with planning the meeting, we would be grateful if you could reserve your place (subject to availability) by completing the reply slip. Alternatively you can confirm your attendance via to: pensioncommunications@wiltshire.gov.uk Annual General Meeting attendance request Title: Forename(s): Surname: Home Address: Keep us up to date We need to know when you change your personal details so please remember to keep us up to date if your circumstances do change. Changed your bank or building society account? This needs to be reported to your payroll department whether in writing or by downloading a bank form from our website, completing it and sending it to them. The address for the payroll department can be found in the Contacting Us section of this newsletter. Has your relationship status changed? If you have recently married, entered into a civil partnership, started co-habiting or undergone a divorce please let the fund know. You will be asked to provide your marriage certificate, civil partnership certificate or Decree Absolute to authorise the change. Moved house? If you have recently moved house it is important to inform the Fund of your new postal address. Address changes cannot be accepted over the telephone so you will need to download a form from our website or you can write into us. Our address can be found in the Contacting Us section. Expression of Wish As explained in our earlier section there could be a lump sum death grant payable from the Fund in the event of your death so it is important to make sure that your nomination form is kept up to date. If you want to make a nomination or update or change an existing nomination then a form allowing you to do this can be downloaded from our website at any time or you can contact us and we can send you a form.e Phone Number: Postcode: What type of member are you? (please circle): Active/ Deferred/ Retired/ Employer Please return this reply slip to: Zoe Stannard, Wiltshire Pension Fund, County Hall, Bythesea Road, Trowbridge, Wiltshire. BA14 8JN Don t forget to book this event! There will be various people from Wiltshire Pension Fund to help you understand how the pension fund is doing WPN2017 v3.1.indd /04/ :49

11 Contacting us... We hope you have found this newsletter helpful and as always we welcome any feedback, comments or ideas for our future editions. Any feedback on the newsletter or any ideas for future editions can be given as per the contact details on page 2. Queries regarding your pension payment, tax or change of bank details should be directed to the payroll team using the following methods: Telephone: By Post: Pensions Payroll, Wiltshire Council, County Hall, Bythesea Road, Trowbridge If you have any other queries regarding your pension you can contact the Pension Benefits Team using the following methods: Telephone: By Post: Wiltshire Pension Fund, County Hall, Bythesea Road, Trowbirdge Wiltshire BA14 8JN If you would prefer to visit in person to discuss your pension then you are welcome to contact us to arrange an appointment. Our offices are open Monday to Friday between 8.30am and 5.30pm. You can also follow us on Useful contacts Age UK Offering help and advice for older people. Telephone: GOV.UK The simple place to find Government Services and information. Department of Work and Pensions Offering advice for pensioners Pensions Advisory Service Free independent information and guidance on pensions. Telephone: Action Fraud UK s national reporting centre. Telephone: Pension Wise A free and impartial government service that helps you understand the options for your pension pot. Pension Tracing Service Trace a personal or company pension scheme. The Pension Service, Tyneview Park, Whitley Road, Newcastle Upon Tyne NE98 1BA Telephone: The Money Advice Service Set up by Government providing unbiased free advice. Holborn Centre, 120 Holborn, London EC1N 2TD Telephone: If you would like this newsletter in large print, Braille or in an alternative format please contact the Pensions Department with your request. WILCORKS Wiltshire Pension Fund - WPN2017 v3.1.indd 20 04/04/ :49