Overview
When the Bulk SMPI module is installed,
there is an ‘SMPI’ option on the ‘Member’ tab In
XLReports.
Before running the calculations, it is
important that:
1. you are familiar with the SMPI legislation and TM1 (produced
by the Actuarial Profession).
2. the circumstances of every member is considered and,
where necessary, the SMPI member
data is entered.
3. for all members, the fund value is entered at the
effective date (using Contributions
and Funds) and
4. the fund split calculated (or entered manually).
Running SMPI calculations
This option will produce a spreadsheet
showing all selected members with the data and results needed for the
illustration. You should set up your template in Word, use the spreadsheet as
the data source and then merge the data into the template.
The calculations will all be run at the
date selected.
Only schemes with status of Live will be
included but you can change the scheme filters when running the program. All
members within those schemes are included unless they have been archived.
Vested Funds. There is an option to
exclude any members with any vested funds. If members with vested funds are included,
only the unvested part of the fund is used in the illustration.
The calculated pension is rounded down to
3 significant figures.
Spouse’s pension. If the
member’s marital status is ‘Married’ or ‘Common law
spouse’ then a 50% spouse’s pension is included. If the
spouse’s date of birth is stored then the spouse’s exact age is
used, otherwise it is assumed that the wife is 3 years younger than the
husband.
Data Validity. Various
checks are carried out on the data. The data is deemed to be valid if the
member’s sex, date of birth and normal retirement date are all present,
In addition, the data is deemed not to be valid if the fund value is not split
at the effective date or the normal retirement date precedes the effective
date.
If the data is not deemed valid then no
calculations are carried out but the member is included in the results
spreadsheet. Such members are shown at the top of the results sheet so that
they can easily be identified.
Results. The results spreadsheet shows the main data and whether the data is
valid. If the data is valid, the projected fund value and pension are shown,
plus the assumptions used for each member and the ages at retirement.
Protected Rights
If a member has unvested protected rights,
the projection will include a 50% spouse’s pension for the protected
rights part of the fund, even if the member is not married, assuming that the
potential wife is 3 years younger.
See also: SMPI member data