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 USS Investment Builder funds in the first instance (where applicable). The deduction will only apply to your USS Retirement Income Builder benefits if you do not have sufficient funds in your USS Investment Builder to cover the tax charge in full.
If you wish for USS to pay the tax charge, please complete a Scheme Pays form. You will need to notify the trustee by 15 December prior to your self-assessment deadline (or retirement if earlier) if you wish to avoid any penalties of interest accruing. By completing the Scheme Pays form, this is your notification to the trustee. Previously this deadline was 31 July following submission of the self-assessment but has been changed – this is explained further in our Scheme Pays factsheet. The factsheet should be read in conjunction with the form, both can be found on our website www.uss.co.uk
If you do not have sufficient funds, or any funds in your USS Investment Builder to cover your AA tax charge, you can use this modeller to show an estimate of how much your USS 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 USS Retirement Income Builder if there are insufficient funds in your USS Investment Builder account.
The trustee recognises that 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. You can find an IFA through the following website: www.unbiased.co.uk. Please be aware that you may be charged a fee for any advice you receive.
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.
We’re introducing some changes in October 2020 that will affect your benefits, which we aren’t yet able to show on this modeller. This means, from October 2020, the benefits you’ll receive will differ from those illustrated on this modeller. How we calculate the conversion of lump sum (not including Investment Builder or MPAVC benefits) into pension is changing. From October, converting lump sum to pension will get you a lower amount of pension than it does now.
As a result of this change, if your retirement date is on or after 6 October 2020, the results provided on this modeller may not be an accurate reflection of the benefits you can receive.
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.