Final Salary

Benefit Modeller

A benefit modeller is available for members to estimate how much of the new lower Annual Allowance figure for the 2011/12 year they are likely to use. This tool may be helpful to members who are planning to commence or increase their AVCs, are considering what to do with a severance lump sum or are high earners with a lot of service in USS and may need to take action (eg reduce their AVCs) to avoid a tax bill.

It measures the increase in their USS benefits over the USS ‘Pension Input Period’ (PIP) which is 1 April to 31 March each year.It is only an estimation; members are asked to input their service from their last Service Statement and estimates of their pensionable salaries as at 31 March 2011 and 31 March 2012, in addition to details about any added years AVC contracts and USS money purchase (Prudential) AVCs to be paid during the PIP. The modeller then works out the estimated amount of the Annual Allowance that would be used and gives the member an indication of whether they are well below the limit, within 10% or have exceeded the limit.