Further information for members with benefits in the money purchase section linked to deferred benefits in the final salary section.
KNOWLEDGE CENTRE
1. Important
Please note that the version shown may include sections which may not be relevant for all members.
2. Your annual KPS-FS Deferred Pension
This shows you the value of your pension in the KPS-FS payable as at your Normal Retirement Date. Your pension has been increased from the date on which you left the KPS-FS until 31 March 2018 to reflect inflation.
3. Value of your KPS-FS Additional Voluntary Contributions (AVCs) fund
This provides you with the total value of your AVCs as at 31 March 2018. Please note this will not be shown if you do not have any AVCs.
4. Value of your KPS-MP Retirement Account
This provides you with the total value of your KPS-MP Retirement Account as at 31 March 2018.
5. Total Pension Input Amount
By law we must notify you of what is known as the Pension Input Amount each year. This is the amount you and the Company have contributed if you were an active KPS-MP member during the 2017/18 tax year. This figure only relates to your benefits in the Kingfisher Pension Scheme and in arriving at your personal total annual figure you will need to include any contributions that you have made to any other pension arrangements. Additional information regarding this can be found here >
6. An annual retirement income
This shows the estimated annual value of your total retirement income as at your Scheme Normal Retirement or if you have passed this date, at your current age.
7. A tax free cash sum of
This shows the estimated maximum tax free cash sum amount as at your Scheme Normal Retirement or if you have passed this date, at your current age.
Please note, both figures have been arrived at by taking the current value of your benefits and estimating how it might increase until the relevant date.
8. Your KPS-FS Deferred Benefits
This shows you the value of your pension in the KPS-FS payable as at your Normal Retirement Date. Your pension has been increased from the date on which you left the KPS-FS until 31 March 2018 to reflect inflation.
9. Death in Service Lump Sum
This gives you the value of the lump sum payable on your death, if you are an employee of the Company at the time of your death.
If you are contributing to the KPS-MP, your lump sum will be 4 x your Salary at the date on which you die. If you do not contribute to the KPS-MP but are still employed by the Company, your lump sum will be 2 x your Salary at the date on which you die if you joined the Company on or before 30 June 2012 or 1 x Salary if you joined the Company on or after 1 July 2012.
If you are no longer employed by the Company, this benefit will not be payable.
10. KPS-FS Death Benefit Lump Sum
If you did not leave a dependant or child, there is a lump sum payable equal to your own contributions plus interest.
If you had to cease membership of the KPS-FS due to it’s closure and you are still employed by the Company then this benefit is paid in addition to a dependant’s pension and/or child allowance.
Further details as to when this would be payable can be found within the ‘Member Guide’.
11. KPS-MP Death Benefit Lump Sum
This gives you details of a further lump sum which is payable, regardless of whether you are still employed by the Company or not and is a refund of the value of your Retirement Account as at the date of your death.
12. KPS-FS Dependant’s Pension
The dependant’s pension is half of your deferred pension, including the annual increases paid since the deferral of your KPSFS benefits. If you were married or had entered into a Civil Partnership when you die your spouse or civil partner will receive the dependant’s pension, provided you were living together. If you had been married for less than one year and your spouse is more than 20 years younger than you, the Trustee may reduce the dependant’s pension. Under the Scheme’s Rules a dependant is defined as a member’s widow, widower, civil partner or child or someone who is financially dependent on the member or financially interdependent with the member, at the date of the member’s death. Further information on this is given in the ‘Member’ Guide’.
13. KPS-FS Child Allowance
This shows you details of an allowance which may be payable to any dependant child or children in respect of your deferred KPS-FS benefits. If you have one child this pension will be 25% of the current value of your deferred KPS-FS benefits. If you have two or more children the total of all the pensions payable will be equal to half of the current value of your deferred KPS-FS benefits, shared equally between each child. Allowances are paid until the child reaches age 18, but the Trustee may continue the allowance until the child reaches age 23 provided that they remain in full-time education. Further information on this is given in the ‘Member’ Guide’.
14. KPS-FS Additional Voluntary Contributions (AVCs)
This table will only apply if you have paid AVCs to the KPS-FS. It shows you the contributions paid date, together with their current value. Although the KPS-FS is now closed, these monies will continue to be invested with your chosen AVC Provider until you come to retire, or transfer your benefits to another pension arrangement. Further information about AVCs can be found here.
Please remember to review where your AVC fund is invested to ensure it meets your retirement needs.
15. KPS-MP Contributions Invested
This section shows the total contributions invested during the period between 1 April 2017 and 31 March 2018. This figures differs from your Pension Input Amount as it confirms the contributions Legal & General invested during the period rather than your contributed. This means the figure totals the contributions paid from March 2017 to February 2018.
Full details of your contribution history can be seen by logging on to your Legal & General Retirement Account.
16. Remember You Can Change Your Level of Contribution at Any Time
As a member of the KPS-MP, you can change your level of contribution whenever you like. Should you wish to do so please complete and return the Change of Contribution Form to Group Pensions. Further information can be found here.
17. KPS-MP Contributions
This section only applies if you are contributing to the Scheme and shows your current contribution rate, together with that of the Company.
Please note that if your contributions are paid via SMART Pensions, these contributions will be shown as being made by the Company. It is therefore likely that most members will have a small element of member contributions, with the majority showing as coming from the Company, as enrolment into SMART typically happens after three months of pension membership. Further information about this is given in SMART Pensions section.
18. Current KPS-MP Investment Choice
This section shows how your contributions are currently being invested . If you are in one of the Lifestyle investment options, this will show you where you are in the investment cycle.
You can review your investments at any time by logging into your Legal & General Retirement Account. Investment fact sheets are available and can be found on the Legal & General Website or by clicking here.
19. Lifestyle Date
Members who have their Retirement Account invested in one of the Lifestyle options will have the date confirmed when their funds will to start to be automatically switched. This date will either be a past or future date.
20. Charges Deducted
Legal & General charge an amount for managing your Retirement Account. This is taken each month automatically and the charges made are shown here. You may also see a figure for charges deducted where you used to hold funds in.
21. Units
The contributions you make each month buy units in your investment funds. The number of units held in each fund as at 31 March 2018 is shown here.
22. Unit Price
The value of your investment in each fund is determined by how the underlying investments perform. The price of buying and selling units in the fund is set each day and rises and falls depending on how these investments perform. The price shown is as at 31 March 2018.
23. Fund Value
This is the value of your investments as at 31 March 2018 and is the number of units multiplied by the price for each unit.
24. Total KPS-MP Charges Deducted
This is the total amount of investment charges deducted between 1 April 2017 and 31 March 2018.
25. Investment Return
This is the change in the value of your investments between 1 April 2017 and 31 March 2018. A positive figure indicates that your investments have grown and a negative figure indicates that the value of your investments has fallen. If you feel this figure is incorrect please contact Legal & General directly.
26. Your Estimated Retirement Benefits
This shows the estimated value of your pension at each of the three specified retirement ages. The figure has been arrived at by taking the current value of your pension and estimating how it might increase each year until the ages shown.
27. Projected AVC/KPS-MP Fund Value
This is the value which is used to calculate the benefits payable to you at each of the retirement ages shown to you. We have come to this value using the SMPI calculations provided by the Scheme’s Actuaries. Broadly speaking, it is the predicted total value of your benefits at the retirement ages shown. It does not include your final salary benefits.
28. KPS-FS Pension Per Year
This shows the estimated value of your pension at each of the specified retirement age(s). The figure has been arrived at by taking the current value of your pension and estimating how it might increase each year until the ages shown. Adjustments have been made to this figure if the retirement date is before, at or after your Normal Retirement Date.
29. Joint Annuity Purchased with AVC/KPS-MP Fund Per Year
This shows the estimated value of the retirement income that may be purchased by your fund at each of the specified retirement ages. The figure has been arrived at by taking the current value of your pension, estimating how it might increase each year until the ages shown and then converting it to a joint annuity using current prices. It is therefore likely that the cost of purchasing a joint annuity will have changed by the time you reach each of the ages quoted.
30. Maximum Cash (Paid tax free); plus
You are currently able to take up to 25% of the capital value of your total benefits in the Scheme as a tax free cash lump sum. This has been calculated based on the estimated value of your benefits at each of the three ages shown. This is a complex calculation and depends on the factor used to exchange part of your pension for cash (known as the commutation factor).
31. Residual KPS-FS pension per year
If you choose to take a tax-free lump sum, this will reduce the amount of final salary pension available to you, compared to if you did not take a lump sum. This shows the estimated pension available after you have taken the maximum cash at each of the three ages.
32. Joint Annuity Purchased with excess AVC/KPS-MP Fund Per Year
If you choose to take a tax-free lump sum, the Scheme automatically uses up as much of your AVC/KPS-MP fund as possible to provide this. The joint annuity figure shown is the estimated retirement income purchased after cash has been taken at each of the ages shown. The figure has been arrived at by taking the current value of your pension, estimating how it might increase each year until the ages shown and then converting it to a joint annuity using current prices. It is therefore likely that the cost of purchasing a joint annuity will have changed by the time you reach each of the ages quoted.
33. Your total KPS benefits as a % of the current LTA
There is a maximum cash equivalent value of pension benefits that you may accrue in your lifetime. This is known as the Lifetime Allowance. Should the value of your pension benefits exceed this, then additional tax charges may be imposed. Although the percentages shown here relate solely to your benefits in the KPS, when looking at the value of your benefits, you must also look at any pensions you have elsewhere, with the exception of the State Pension. Please note this figure is based on the Lifetime Allowance percentage as at 31 March 2018, which is £1,030,000. Further information can be found here.
34. Scheme Normal Retirement Age
This shows you the Scheme’s Normal Retirement Age, which is normally your 65th birthday, unless you have previously been notified differently. This does not mean that you cannot retire earlier, just that this is the standard retirement age for the Scheme. You can retire earlier or later than this, with the earliest possible date currently your 55th birthday.
35. Beneficiary Form Date
discretion of the Trustee, it is important that you review any nominations from time to time and update these with any changes. Click here to download and print a new KPS-MP Beneficiary Form.
36. Pensionable Salary
This shows you the Pensionable Salary we held on our records as at the date of the statement (i.e. 31 March 2018). Your Pensionable Salary is the contractual amount that you are paid every month but also includes certain allowances. It excludes car allowances, any overtime you are paid, commission and any bonuses.
This figure is used to calculate any death in service benefits payable in the event of your death. It also the salary used for the estimation of retirement benefits if you are an active member.
37. Selected Retirement Age
This is important if your contributions are invested in one of the Lifestyle investment options. This age will impact when your investments automatically start to move from higher to low risk funds.
If you have not specified an age this will automatically be your anticipated State Pension Age. If you are aged over your State Pension Age and have not previously specified an age, this will automatically be one year from your next birthday. To change this you can either log in to your Legal & General Retirement Account or contact Legal & General directly.
38. Information we have to tell you
There is certain information we have to tell you in a specific way. This has been done on your statement, however the notes on this webpage have tried to simplify this as far as possible. It is important to note that the benefits quoted on your statement are for illustration purposes only and are not guaranteed. Should there be any errors in your statement, your benefits will be calculated in line with the Trust Deed & Rules of the Kingfisher Pension Scheme and these will override the information contained in this benefit statement.
