Omni – XLReports - Bulk SMPI

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. If there is no SMPI member data entered for a member the investment return defaults to 5% - it cannot be run with an absolute return of 0%.

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.

You can change the scheme status filters when running the program. All members within the schemes selected are included unless they have been archived.

Vested Funds. If any members have vested funds, 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.

From April 2014, the pensions are illustrated on a level basis (i.e. no inflation linking in payment) and the option for a lump sum is also shown.

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. The protected rights information can now be ignored but it is left for backward compatability.

See also:               SMPI member data