New Starters
It is the Employer's responsibility to inform all new employees about the LGPS and to notify the Wiltshire Pension Fund of all new starters to the scheme.
The key pieces of the information we need are requested on the Starter Form which Employers need to complete. In order to assist with the correct completion of this sheet, there are exemplar starter forms at the end of this section.
What you need to know
Eligibility
All new employees of Scheduled Bodies are automatically eligible for the LGPS.
THe eligibility of Resolution Bodies employees (typically Town and Parish Councils) is dependent on what their resolution says. The resolution should determine clearly who, or which posts, are eligible and whether entry is automatic or new employees need to opt-in.
The eligibility of Admitted Bodies employees is dependent on what is stated and agreed in the Admission Agreement. This can vary from, at one extreme, only being open to employees who were members at the date of admission/transfer to being open to all new employees at the other extreme.
The other aspect of eligibility is the employment status of the individual. If the employee is casual (i.e. there is no "mutual obligation" contract), they are not eligible to join the scheme.
For all eligible new employees
You must inform all eligible new employees about the scheme. You can do this by simply sending them a Starter Pack which we can supply on request..You can find contact details at www.wiltshirepensionfund.org.uk/joining-the-lgps/starter-pack.htm
Please note: Failure to inform your employees about pension rights could mean you being fined by the Pensions Regulator.
Automatically enter all temporary and permanent employees into the scheme by taking deductions from their pay (unless they opt-out before you notify us).
Employees employed on a casual basis can only join the scheme if they have a contract of mutual obligation for more than 3 months, or they have no mutual obligation, but they are offered and accept work every day for 3 months.
Process for setting up a new starter
Tell new starter that they will automatically be brought into the scheme and briefly inform them about the benefits.
Send the new employee a Starter Pack to their home address or give them the link to the website. They need to complete the Transfer Booklet (where relevant) and the Expression of Wish Form. These need to be sent directly back to us.
Bring the new starter into the scheme by telling your payroll to start taking deductions (both Employees and Employers. You will find more information below.
Send us a completed Starter Form either by post or electronically (where relevant) as soon as possible.
Pointers for filling in Starter Forms
If a person wishes to opt-out before starting, give them the Opt-Out Form from the Starter Pack . This needs to be filled in and sent to their payroll department.
Electronic copies of forms can be found at.www.wiltshirepensionfund.org.uk/forms along with relevant contact details.
A separate Starter Form is needed for each job.
If you have multiple, or a high volume of new starters you can fill in a spreadsheet - please contact us if you wish to do this now. In the future this option will be available to all Employers.
What hours will the new employee work (part-time, whole-time or variable) - see the exemplar sheets later in this section for examples on how to deal with different scenarios.
What is their pensionable pay?
Any difficulties? You can obtain help by reviewing the exemplar starter forms and guidance later in this section, or by contacting someone at Wiltshire Pension Fund by following the link - contact us.
Contribution Rates for New Starters
Employees contributions as of 1st April 2011 are based on FTEs (full time equivalent salaries) Details of the current rates can be found by following the link above.
Band ranges will increase each April in line with inflation.
Employer Contributions
Employers are notified of these following fund valuations, which occur every three years. Your current and future employer contribution rates can be found under the employer section of the website. Future valuation dates will be in 2013, 2016 and 2019.
Example Starter Forms
Unfortunately we do receive a large number of incorrectly filled in forms causing subsequent problems and wasted time for both employers and the Fund. The following examples show correctly completed forms for different types of situations:
Common difficulties and trouble shooting
Typically errors or difficulties tend to arise under the employment details section. Some common difficulties are:
- Leaving fields blank (e.g. employee contribution rate) - following our "Lean Review", we have tried to ensure that we do not ask for redundant information or information that we could easily find another way. Therefore, any blank fields will result in a query. If you are having difficulties with completion of certain elements of the form, please contact us.
- Calculating percentage of full-time pay - Please use the following calculation:
- Contractual hours divided by full time hours x contractual weeks per year divided by 52 x 100
- "Full time hours" will vary depending on the employer. Most employers use 37 hours
- Please do all calculations using a 52 week year as opposed to 52.137 or any other decimal value
Wiltshire Pension Fund, Wiltshire Council - Bythesea Road,Trowbridge, Wiltshire, BA14 8JN.
© 2009 Wiltshire Pension Fund.