Scheme Pays Modeller

Important notes – please read before using the modeller

If you exceed the Annual Allowance (AA), you may incur an AA tax charge. You can choose for USS to pay the tax charge on your behalf in exchange for a reduction to your benefits.

Any deduction from your benefits will be taken from your Investment Builder savings in the first instance (where applicable). The deduction will only apply to your Retirement Income Builder benefits if you do not have sufficient funds in your Investment Builder pot to cover the tax charge in full.

If you wish for USS to pay the tax charge, please complete a Scheme Pays form. The Scheme Pays page should be read in conjunction with the form, both can be found on our website uss.co.uk.

If you do not have sufficient funds, or any funds in your Investment Builder pot to cover your AA tax charge, you can use this modeller to show an estimate of how much your Retirement Income Builder benefits may be reduced by, should you choose for USS to pay your tax charge. In practice, a deduction will only be made from your Retirement Income Builder benefits if there are insufficient funds in your Investment Builder pot.

Please note that the factors used in this modeller provide an illustration only of what your Retirement Income Builder benefits may be reduced by, in situations where your AA tax charge exceeds your Investment Builder pot. The actual factors to be used in such calculations undertaken in the scheme year 2023/24 are yet to be determined. This is due to the proposed scheme changes which are subject to the outcome of the 2023 valuation process and consultations. The actual factors to be used are expected to be available later in the year.

Financial advice
You may wish to seek financial advice on your options. If you need advice on tax matters, we recommend you contact a tax or financial adviser. Visit the Guidance and financial advice page on uss.co.uk for a range of resources to support you, along with information on sources of free, impartial guidance and how to find a regulated financial adviser.

Your details

Date of birth (dd/mm/yyyy)

USS pension input period

Select the scheme year your Annual Allowance tax charge applies to.

USS pension input period

Please enter your tax charge details below. You can enter the full amount of your tax charge in order to see the estimated maximum deduction to your Retirement Income Builder benefits. Alternatively, for a more accurate estimate, you can enter the amount that your tax charge exceeds your Investment Builder savings by.

Tax charge amount

Either enter the full tax charge amount or the amount that your tax charge exceeds your Investment Builder funds by (the latter will provide a more accurate estimate of the deduction that would be made to your Retirement Income Builder benefits). Your tax charge is calculated based on the Annual Allowance figures provided by USS and any other registered pension scheme of which you are a member, but does not represent the amount by which you have exceeded the Annual Allowance.

Tax charge amount

USS tax charge amount

Enter the tax charge you have incurred as a result of exceeding the Annual Allowance in USS. Your tax charge does not represent the amount by which you have exceeded the Annual Allowance.

Tax charge relating to USS accrual

Amount you wish USS to pay on your behalf

Select how much of your tax charge you would like USS to pay

Amount you wish USS to pay on your behalf*

Once you have reviewed your options please fill out your retirement form with your preferred level of pension or cash and return this to USS. We will then contact you to confirm the final level of your benefits.

Please note that this modeller is intended for illustrative purposes only. The quotation is based on the market-related factors available at the date of calculation. The factors used to calculate your actual retirement benefits will be those appropriate to the month in which you retire. Please contact USS if you want a formal quotation.

This modeller does not provide any promise or guarantee regarding the level of benefits shown, and the modeller should not be regarded as financial advice or used for financial planning for retirement purposes. The modeller should be used in conjunction with other available information when making decisions about your pension arrangements. USS is governed by a trust deed and rules and your benefits will always be paid in accordance with the trust deed and rules (as amended from time to time). If there is any discrepancy between this tool and the trust deed and rules, the latter will prevail.

No personal data is stored on this tool. However, you are responsible for ensuring that you exit the tool when you finish, to ensure that no personal data is accessible.

We strongly recommend that you take independent financial advice before making, or refraining from making, any decisions about your USS benefits. You can find an independent financial adviser through the following website www.unbiased.co.uk. Please note that you may be charged a fee for any advice.

Please note that this modeller is not appropriate if you are due to have a deduction made to your benefits. Any deductions applicable to you will be detailed on your provisional retirement quotation. Please refer to USS in these circumstances.

Neither Universities Superannuation Scheme Ltd nor any of their officers or employees accept any responsibility or liability for any loss, damage or inconvenience caused by action taken (or a decision not to take action) as a result of information provided by this modeller. We have complete discretion to modify any part of this tool or remove it in its entirety without warning or liability arising from such an action.