This guidance is addressed to the Department of Finance (DoF) as scheme manager of the Civil Service and Others Pension Scheme (Northern Ireland) (CSOPS(NI) or the alpha scheme).
The purpose is to provide DoF with guidance on how to calculate the amount of added pension (AP) to be awarded when a member, their employer or third party opts to make a lump sum payment or a member makes regular periodic payments.
This guidance does not apply to members in the classic, classic plus, premium or nuvos sections of the Principal Civil Service Pension Scheme (Northern Ireland). Please see the separate guidance for those schemes.
The regulations provide for a restriction on the maximum amount of extra pension (which includes accrued added pension) that can be purchased by a member. This test must be made before allowing the member to exercise the option to buy added pension. If a member has elected to purchase an effective pension age option then this can impact on their eligibility to purchase added pension. Further detail can be found in the EPA actuarial guidance.
We do not envisage any special cases not covered by this guidance. However, if any do occur they should be referred to the Government Actuary's Department (GAD).
The following changes have been made when reviewing this guidance:
- Important information around the expected audience for the guidance, use of the guidance, review of factors, compliance and limitations applies across all sets of guidance. Rather than being repeated in each set of guidance, this can now be found on the scheme home page. It is important to read this information alongside the guidance.
- Calculation methodology: No changes have been made to the calculation methodology.
- Examples: There are no examples in this guidance. Worked examples, using the calculation methodology, can be found in prior versions of the guidance (though please note that these use historic factors).
- Factor tables: The "Factor Tables" tab contains the names of the tables that are referenced in the calculation methodology. The tables of factors themselves can be found in the most recently published "Consolidated Factors Workbook" which is available by clicking the "Download current Consolidated Factors Workbook" button on the scheme's home page.
- Assumptions: The key assumptions underlying the factors in each note are contained in the Consolidated Factors Workbook.
- Regulations: The regulations that require the production of the actuarial factors and/or guidance that is the subject of this note are summarised in the "Regulations" tab.
