Stakeholder Pension Scheme for Civil Service Employees
Provided by the TUC and administered on their behalf by Prudential
Benefits
The TUC scheme offers value for money with a sliding scale charging structure. Charges start from as little 0.7% per annum depending on the size of your fund. |
You can keep track of your pension and make changes to it at any time via a dedicated website, phone or post. |
The plan is very flexible so you can start, stop or change the amount of your payments within certain payment levels and timeframes. Note that if you stop or reduce your contributions this will affect your benefits at retirement. |
Your plan is portable. So, if you leave the Civil Service, you can still make contributions offering the potential for future fund growth. Although if you don't contribute you still get the potential for growth. |
The Civil Service partnership pension account provides options for all employees to plan for their retirement. One of the options available is the Stakeholder Pension, offered by the TUC and administered by Prudential.
Prudential's knowledge, together with the unions' record of looking after their members, means that the scheme offers the potential for good benefits and value for money.
Remember, you do not have to contribute to the scheme in order to attract the employer contribution of as much as 12.5%. However, if you decide to make your own payments, the Civil Service will match these up to a maximum of 3%.
If you wish to apply for the scheme, contact our service centre for an application pack. The application form should be completed and returned to your employer.
Or contact us by post at:
Stakeholder Customer Service Centre
Prudential
Stirling
FK9 4UE
Call us on 0845 070 6666. Lines are open 8.30am-6pm Monday to Friday. Calls may be monitored or recorded for quality and security purposes.
Changes to your Pension Input PeriodFor your scheme, Prudential has nominated the Pension Input Period (PIP) to run in line with the tax year between the 6th April to 5th April each year. This will apply retrospectively from 6th April 2006 and for future years.
If this nomination affects your retirement planning then please contact us and we will ensure there will be no change.
Please note that if you have previously advised us that you wish to use an alternative PIP your individual nomination will still apply. For the vast majority of members, these changes will make no material difference. However, if you think that your total pension input may be near or above the new annual allowance of £50,000, we suggest you check with your scheme administrator. You may also wish to contact a Financial Adviser, for which you may be charged.
Please watch our animated guide below to help you understand this change.
Tax limits
The government limits the amount that can be contributed every year before incurring tax penalties. This is called the 'Annual Allowance'. The level of Annual Allowance is currently £50,000. Further details can be found in your Key Features Document.
Lifetime Allowance
If the value across all your pension funds exceeds the Lifetime Allowance at the time you take your benefits, a tax penalty will be payable on the excess amount. The limit for 2011/12 is £1.8 million and with effect from 6 April 2012 will reduce to £1.5 million. The government has introduced protection, which you will need to apply for by 5 April 2012, if you expect the value of all your pension funds to be in excess of £1.5 million when they are taken. If you are affected by this limit you may wish to contact a Financial Adviser, for which you may be charged.
Remember that the value of your fund may go down as well as up and you may not get back the amount you have invested.
Please read the key features document as this will provide you with important information regarding the key risks and benefits of the product to help you make a decision.
Please also read the guide to fund options as this will provide you with full details of the funds available, their objectives, Prudential's Risk rating of these funds and charges to help you select the funds suitable for your needs.
The above is based on our understanding, as at February 2011, of current taxation, legislation and HM Revenue & Customs practice, all of which are liable to change without notice. The impact of taxation (and any tax reliefs) depends on individual circumstances.
