HOW TO MANAGE YOUR PENSION ONLINE ALL YOU NEED TO KNOW ABOUT ONLINE MEMBER SERVICES AND DETAILS OF HOW TO SWITCH FUNDS ONLINE
PUTTING THE PERSONAL TOUCH INTO CORPORATE PENSIONS PAGE 1 ONLINE MEMBER SERVICES EXPLAINED PAGE 2 6 REASONS TO MAKE THE MOST OF SCOTTISH WIDOWS MEMBER SERVICES EXPLORE YOUR PENSION OPTIONS WITH OUR WHAT IF? CALCULATOR PAGE 3 AN OUTLINE OF SWITCHING FUNDS ONLINE PAGE 5 VIEWING AND DOWNLOADING POLICY AND PREMIUM SUMMARY STATEMENTS PAGE 6 THE IMPORTANCE OF TAKING CONTROL OF YOUR INVESTMENT PAGE 7 ACCESSING ONLINE MEMBER SERVICES PAGE 9 ONLINE MEMBER SERVICES AVAILABLE IMPORTANT NOTES
ONLINE MEMBER SERVICES EXPLAINED At Scottish Widows, we recognise the importance of providing relevant information to our policyholders, and are focused on putting the personal touch back into corporate pensions. By joining your employer s Scottish Widows pension scheme, you have online access to your policy, together with additional facilities designed to help you make the most of your pension plan. These include: What if? Calculator Current and historic fund values View and download Policy and Premium Summary Reports Access to unit purchase history Change address/contact details Request copies of previous Annual Benefit Statements Switching funds online. Our range of online services provides you with a quick and simple way to keep track of your pension plan. Using these facilities gives you the opportunity to take control of your own finances and keep yourself informed. However, if you are at all unsure or you would like further advice, we recommend you speak to your financial adviser before making any changes to your plan. This guide tells you all you need to know about using online member services and how to get the most out of your pension plan. You can access these facilities online at www.scottishwidows.co.uk/corporate 1
6 REASONS TO MAKE THE MOST OF SCOTTISH WIDOWS MEMBER SERVICES Benefits to you Using Scottish Widows member services You re in control Be proactive with your finances and try to seek the best outcome for you. It s easy We ve designed our online services with your convenience in mind. Just follow the on-screen prompts. It s free We don t currently charge you for using these services. You can switch funds or recalculate your benefits as often as you like, currently without any costs. Secure services With our investment in the latest security technology, your online interaction is secure. Your unique customer ID and PIN are sent in separate letters to your home address so you can register for online services confident in the knowledge that your details are secure. You can change your PIN online to a combination of your choice. Switch and redirection It s your choice Select the funds you feel are most appropriate for you. If you are at all unsure, you can seek financial advice before you go ahead and make changes to your plan. Service speed By switching funds online, you can avoid postal delays and there s now no manual intervention: the transaction is fully automated. EXPLORE YOUR PENSION OPTIONS WITH OUR WHAT IF? CALCULATOR WHAT IS IT? Scottish Widows What if? Calculator is an interactive tool, which allows you to see your projected pension value based on some current information, and calculates how this may change should you wish to make changes. It has been built with your needs in mind and pulls some current information directly from your pension plan. 2
AN OUTLINE OF SWITCHING FUNDS ONLINE Switching funds online gives you the ability to choose and change the funds in which you invest your pension pot. There may be restrictions on the amount that can be invested in certain funds. SERVICE SPEED When you submit your request online before 12 noon, you usually receive the fund prices of the following working day. Instructions submitted after 12 noon mean your investment is usually made in your chosen funds the second working day after receipt. Our new online facility means the switch is made as close as possible to the moment when you make the decision to switch and redirect, as you have the advantage of bypassing postal delays. FUND SWITCHING OPTIONS You have 3 choices when you want to switch your funds online. 1 Fund switch request This option lets you sell a proportion of the units in the fund(s) you currently have and invest them into a different fund. 2 Fund redirection request This option lets you keep previous payments invested in your current funds and invests all future payments in different funds that you select. 3 Fund phased switch request This option allows you to sell all of the units you hold in a particular fund and invest them into different funds in phases over a selected period of time. Here is an example screen which shows you what switching funds online looks like. 3
With all 3 options, the pricing rules and timing of your transaction are clearly displayed. If you are invested in a lifestyle switching strategy (either bespoke or one of the Scottish Widows Pension Investment Approaches) you can switch between strategies online. However, if you wish to invest in any other funds you cannot do this online. Please contact us by letter or by calling 03457 556 557. We reserve the right to delay the date of any switch between investment funds. The period of delay will not be more than 6 months if the units cancelled relate to funds which directly or indirectly hold assets in the form of real or heritable property. It will not be more than one month in all other cases. We recommend you speak to your financial adviser before making any changes, especially if you are at all unsure. Choosing an appropriate level of investment risk Your financial adviser can assist you in choosing an appropriate risk level, and we recommend you seek advice if you are at all unsure. Some of the factors you might want to consider are outlined as follows: How many years you have until retirement Do you have many years until retirement, in which case you might potentially recover losses made in riskier fund choices? Do you want to invest in more secure funds closer to your retirement? Short term versus long term Are you prepared to wait years to recover possible losses, with the aim of potentially achieving a higher return, or, would you prefer less risk with a potentially lower return? How concerned are you about short term market movements? Stability and return Consider whether stability of your investment is more important to you than potential growth of your investment, or whether you want to try to achieve the highest possible growth, even if this entails an increased risk of making a loss. Your attitude to investment risk may change over time and you should consider regular financial reviews. 4
VIEWING AND DOWNLOADING POLICY AND PREMIUM SUMMARY STATEMENTS Viewing and downloading statements online allows you to instantly access, view and download PDF statements which are based on the latest information available. All information contained within Policy and Premium Summary Statements is correct as at close of business on the previous working day. POLICY SUMMARY STATEMENTS This provides an in-depth policy overview based on the latest fund value and fund split, allowing you to monitor pension performance and assist any fund-switching decisions you may choose to make. Further details include personal details, current premium payment, last payment date and charging structure. PREMIUM SUMMARY STATEMENTS The Premium Summary allows you to view payments for any period up to 12 months with options to select a specific calendar, renewal or tax year since the inception of the policy. Premium Summary Statements are useful when completing tax returns and provide further information on any secondary payments made. Please note: Any payments shown under the secondary payments column relate to payments made from either your own bank account or from a 3rd party bank account, not your employer. These payments do not include those paid through the company pension scheme. 5
THE IMPORTANCE OF TAKING CONTROL OF YOUR INVESTMENT If you re making payments to your pension plan already, you ve taken the first step towards ensuring you will have an income in retirement. But do you have a realistic idea about how much income you could have potentially? Will it be enough to maintain the lifestyle you re used to, or will it be just enough to survive on? WHEN THE STATE PENSION ISN T ENOUGH It s increasingly important for all of us to consider an alternative, private pension plan in addition to that which the state will provide. The government knows there is a gap between what people require to live on in retirement, and what will be available to them, and it is encouraging us to take control and plan ahead for our own future. We can in general expect to live longer than previous generations, and you usually need to plan for an income for 20 or 30 years or more after you stop working. TAX ADVANTAGES Saving your money into a pension plan allows it to benefit from tax relief at your highest rate. So if your basic rate of tax is 20%*, for every 80 you pay into your plan each month, the government will automatically top up your pension with an additional 20. If you re a higher or additional rate taxpayer, you may be able to claim further tax relief via your annual tax return. It s one of the most tax-efficient ways to save. The value of the tax benefits of a personal pension depend on your personal circumstances. Both your circumstances and tax rules may change in future. *If you re a Scottish taxpayer the tax relief you ll be entitled to will be at the Scottish rate of income tax, which may be different from the rest of the UK in the future. REVIEW YOUR FINANCES It s important to review your pension plan regularly, especially when your circumstances change. A financial adviser can help you assess your situation and make recommendations, for example, regarding the funds your plan invests in, or your payment levels, or your retirement date. MAKE THE MOST OF THE SERVICES AVAILABLE TO YOU Our online member services are not a substitute for advice, but the What if? Calculator can give you an indication of the income you might get in retirement (given certain assumptions as outlined in the Important notes section on the What if? Calculator). By changing the variables used in the calculation for example, increasing or decreasing your payments you can see how much pension income you might have as a result. If you are clear about which funds you want to invest in, you can switch funds and redirect your payments easily online at www.scottishwidows.co.uk/corporate If you are at all unsure, you should speak to your financial adviser before making any changes. RETIREMENT PLANNING Planning for the future can help you secure the retirement you re looking for. If you d like some help with your retirement planning, visit www.scottishwidows. co.uk/retirement These pages can help you prepare for retirement by taking you through the pension journey, providing calculators, and discussing options. REMEMBER THE FUTURE It s important to remember that your circumstances in the future depend on what you do now. You may feel that stopping payments or leaving your pension plan to its own devices saves you time and money now, but what about the future? When you no longer have an income from work, you need a pension fund big enough to maintain your lifestyle and sustain you throughout the years. Investing in the optimum selection of funds with the most appropriate payment levels for you can help you achieve your retirement income goals. 6
ACCESSING ONLINE MEMBER SERVICES ACCESS HOURS Access is normally 24 hours Monday to Saturday, with 1/2 hour outage at 10pm, and 8am to 6pm on Sundays. HOW TO REGISTER By joining your employer s Scottish Widows pensions scheme, you have online access to your pension plan and online member services. To register or log in, access the Scottish Widows website at www.scottishwidows.co.uk/onlineservices You will then see the screen below. Follow the on-screen prompts to register. You will be asked to enter your: Policy number Date of birth Email address (this is not compulsory) Warning: sending personal information by email is not secure. Only include your email address if you agree to Scottish Widows sending you emails. A customer ID and PIN number will be posted to you in two separate letters. If you have been registered automatically your customer ID and PIN will be sent to you even though you have not registered online. 7
Once you have your customer ID and PIN, you can access your pension plan online by navigating to the web page displayed above and entering your details. This page is accessed from the Scottish Widows corporate pensions website at www.scottishwidows.co.uk/corporate You might also be able to follow a link from your employer s or financial adviser s website. GROUP MONEY PURCHASE SCHEMES If you are a member of an occupational or group money purchase pension scheme, you will only be able to view the details of that policy online if the scheme trustees have given you their permission. Trustees must contact Scottish Widows to confirm this permission. CONTACT US If you have any problems with your online services please contact our website helpline on 03457 697 8888 between 08:00 18:00, Monday to Friday or 09:00 12:30, Saturday. Or to make any changes to your plan, call the Corporate Member Helpdesk on 03457 556 557. Lines are open between 08:00 and 18:00, Monday to Friday. We may record and monitor calls to help us improve our service. 8
ONLINE MEMBER SERVICES AVAILABLE Once you have logged into our member services, there are a range of options available to you. You can check your policy details, which includes your scheme s name, number, start date and current status. From the policy details page you can click on several links. The policy benefits section allows you to view your payment details, monthly or annually and shows who is responsible for paying them. The policy value section allows you to view the real-time policy value as at close of business on the previous working day. It includes: the number and name of the funds your payments are invested in the number and price of the units that have been allocated throughout the lifetime of the policy a total policy valuation. The valuation of an investment is not guaranteed and can go up and down depending on investment performance (and currency exchange rates where a fund invests overseas) and could fall below the amount(s) paid in. The unit history section details the actual contributions made during a specific calendar year period. It includes payment type e.g. regular or transfer and the split of money between your fund choices. This shows the total contribution per payment, including any tax relief and employer contributions. The payment enquiry section gives details of how the money is paid to Scottish Widows, as at today s date what is currently outstanding or overpaid and the date we expect to receive the next payment. The policy administration section allows you to change address or contact details quickly and easily. It s here that you can also request a copy of any Annual Benefit Statements. IMPORTANT NOTES Full terms and conditions are available on request from Scottish Widows. Charges, terms and limits may change. 9
Scottish Widows Limited. Registered in England and Wales No. 3196171. Registered office in the United Kingdom at 25 Gresham Street, London EC2V 7HN. Authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. Financial Services Register number 181655. 44048 12/17