Chemfeed Plan

In the Saver Plan Plus, your benefits built up at a rate of 1/60th of your final pensionable salary for each year of pensionable service, subject to maximum limits.

You can give up some of your pension and take it as a tax-free cash sum, broadly up to 25% of the value of your benefits, up to your available Lifetime Allowance. Please go to the resources section to read more about this allowance here. This will reduce your pension, so you should consider taking independent financial advice first. Your pension will be paid monthly and will be paid on the next available payroll date after your retirement. Your first payment will include any arrears due.

Retirement means different things to different people. Some may want to retire early, while others may choose to work past age 65 and continue to build up benefits. Or you may want to make more of a transition into retirement. Whatever you want to do, the Plan gives you a range of options.

As a deferred member you have the following options at retirement:

Early Retirement

You can retire from age 55 (increasing to 57 in 2028). If you draw your deferred benefits before reaching age 60, your benefits will be reduced. These reductions will reflect the period between the date you draw your benefits and age 60. The Trustees will, in consultation with the Company, set the level of the reductions to be applied to the early payment of deferred benefits.

Normal Retirement

Your normal retirement date is the end of the month in which you reach age 65.

Late Retirement

Your benefits will be increased to allow for this late payment.

Ill Health Retirement

If you have reached age 55 no special terms arise from your reason for retirement.

If you have not reached age 55 and you have to give up your job due to incapacity, you may be entitled to an immediate pension at any age, subject to Trustees’ approval. They may take medical advice before agreeing to pay ill-health pensions. Your pension will be reduced to reflect early payment.

When you die, the Plan offers a range of benefits for your family and dependants.

The Trustees have the discretion to decide how your death benefits are divided between your relatives, dependants, legal personal representatives or nominated beneficiaries. This way, payment can be made more quickly and the benefits are unlikely to attract inheritance tax.

However, you can nominate your beneficiaries by logging into My Work Pension and the Trustees will pay close attention to it. You can find the form under 'Your Account' in the menu. You would be wise to keep it up to date if your circumstances change – if you get married, register a civil partnership, separate or divorce, or have children. Even if you are unattached or don’t have children, you may have family members or close friends who you would want the Trustees to consider.

If you die as a deferred member.

Cash sum

A cash sum equal to a refund of your contributions, plus the value of any AVC or EDC fund you have, will be paid to your relatives, dependants or legal personal representatives. Special circumstances may apply if you die within 12 months of being made redundant and have not started another job.

Spouse’s pension

A spouse’s pension will be paid equal to 60% of your deferred Siemens Benefits Scheme pension and usually up to 60% of your qualifying PCSPS service.If the Trustees agree, the spouse’s pension may be converted to a cash lump sum, as long as it is less than the Lifetime Allowance. Please go to the resources section to read more about this allowance here.If you are more than 10 years older than your spouse or partner, the Trustees have discretion to reduce their pension.

Eligible children’s pension

Pension for a Dependant

In certain circumstances, a pension may be payable under the Scheme’s Trust Deed and Rules to one or more of your Dependants. In broad terms, for these purposes a Dependant is:

• any person who is financially dependent on you or with whom you have a relationship of mutual dependence;
• or any children who have not reached the age of 18 or who are in full time education or training up to the age of 24 or who are dependent on you because of disability

If you die after drawing your pensionCash sum - 5-year guarantee If you die within 5 years of retirement, a cash sum equal to the balance of 5 years’ instalments of your pension will be paid. For information on the cash sum paid if you retire later and die after age 75, please contact the Member Services Team. Spouse’s pensionA spouse’s pension will be paid equal to 60% of the pension you were receiving when you died (this will not include any of your pension bought through AVCs if that pension was described as 'single life' or equivalent). However, if the pension of a NHSPS A member has been reduced on account of any lump sum received on retirement, the spouse’s pension shall be calculated ignoring that reduction.If the Trustees agree, the spouse’s pension may be converted to a cash sum, as long as it is less than the Lifetime Allowance. Please go to the resources section to read more about this allowance here.If you are more than 10 years older than your spouse or partner, the Trustees have discretion to reduce their pension.Eligible children’s pension

Pension for a DependantIn certain circumstances, a pension may be payable under the Scheme’s Trust Deed and Rules to one or more of your Dependants. In broad terms, for these purposes a Dependant is:

• any person who is financially dependent on you or with whom you have a relationship of mutual dependence;
• or any children who have not reached the age of 18 or who are in full time education or training up to the age of 24 or who are dependent on you because of disability

Once in payment, your Saver Plan Plus pension is subject to annual reviews in line with the Retail Prices Index (RPI).

Your Plan pension, other than part of any Guaranteed Minimum Pension (GMP) element, is guaranteed to increase each year on 1 April by the rise in the RPI during the 12 months to the previous December, up to a maximum of 5%. If RPI does not increase, your pension will remain at the same level (it will not decrease).

Pension increases are pro-rated for part-year retirements. The increases applied depend on when the benefits were accrued and under which were accrued and under which pension plan. You will receive a letter and payslip annually informing you of your increase.

...you get divorced?

Pension rights are normally taken into account as part of a couple’s assets. There are a number of options available to the Court in dealing with pension rights and we will comply with any instructions from a court. If you need more pension information, please contact the Member Services Team.

Veolia Plan

The Chemfeed final salary division of the Veolia UK Pension Plan.

Pensionable service

Any continuous period in years and complete months during which you were a contributing member of the Veolia Plan.

Pensionable salary

For the purposes of calculating the benefits due from the Chemfeed Plan (but not benefits in the Siemens Pension Saving Plan) this is the basic annual salary less (except in the case of E&J members) an amount equal to the basic flat rate State pension for a single person.

Maximum limits

For the 2020/21 tax year, the earnings cap is £170,400 a year. It increases broadly in line with increases in the Retail Prices Index (RPI). Maximum Siemens Benefits Scheme limits apply only to your Plan benefits. You may have additional Siemens Pension Saving Plan benefits that exceed these limits.

Lifetime Allowance

Please go to the resources section to read more about this allowance here.

Spouse

The person to whom you are legally married at the date of your death. In line with the Civil Partnership Act 2004, same-sex partners who have been through a civil ceremony will be treated as spouses with regard to payment of any contracted-out benefits built up after 6 April 1988. In addition, they will be treated as spouses in all respects with regard to benefits built up after 5 December 2005.

If you are not married or are not in a registered civil partnership, or are not living with a spouse, this definition also includes any person who, in the opinion of the Trustees, was dependent on you financially or because of disability or had a financial relationship of mutual dependence with you.

Final pensionable salary

The higher of:

• the pensionable salary you received in the 12 months prior to ceasing pensionable service; and
• the highest pensionable salary you received in any Scheme Year (1 April to 31 March) during the final 5 years of pensionable service.

Where:

• pensionable salary (for the purposes of calculating the benefits due from the Plan - but not benefits in the Siemens Pension Saving Plan) is the basic annual salary less (except in the case of E&J Members) an amount equal to the basic flat rate State pension for a single person; and
• pensionable service means service under the Veolia Plan plus, for the purpose of calculating final pensionable salary only, service as an Siemens Pension Saving Plan member.

Final pensionable salary is subject to the maximum limits.

E & J member

A Chemfeed member who was designated an E & J member under the Veolia Plan.

Rule of 85

A member’s pensionable service (including pensionable service under the Veolia Plan) plus his age equal at least 85.

Statutory Revaluation

This is a form of limited indexation of benefits prescribed by law. It requires that deferred benefits are indexed from your date of leaving to the date they come into payment or to the date you transfer your benefits to a new employer’s scheme or personal pension scheme, or to your normal retirement date.

This indexation is currently based on the rise in the Consumer Prices Index (CPI) subject to a maximum of 5% a year for benefits built up before April 2009 and 2.5% a year for benefits built up after that date.

Guaranteed Minimum Pension (GMP)

The minimum level of pension that the Plan has to provide you with if you have pensionable service between 5 April 1978 and 6 April 1997. It replaces the pension you would have received from the State Earnings Related Pension Scheme (SERPS). SERPS later became the State Second Pension (S2P).

Eligible child

Any child of the member (including a step-child or legally adopted child) who is under the age of 18 or, if in full-time education or vocational training, is under the age of 23, or was dependent on the member at the time of his/her death on account of physical or mental incapacity.