The benefit provided is a pension paid from the ex-partner's (or pension credit member's) normal pension age (NPA) in the alpha scheme. Normal pension age is defined as a member's State Pension age (or 65, if that is higher) in the alpha section. For the purpose of this guidance, a member's expected NPA in the alpha section is the same as their State Pension age as set out in legislation at the valuation day.

The benefit can be paid immediately if the ex-partner is already above their NPA at the calculation date.

Where relevant, for the remainder of this guidance 'CE' (or 'cash equivalent') should be taken to mean either a cash equivalent transfer value on divorce or a pensioner cash equivalent on divorce calculated in accordance with the cash equivalents on divorce guidance for alpha members.

The calculation of the pension to be awarded to an ex-partner (or pension credit member) requires an input of the pension credit (i.e. share of the CE awarded to the ex-partner) determined from the pension sharing order and the ex-partner's (or pension credit member's) NPA in the alpha scheme.

The calculation of the pension to be awarded to the pension credit member should be determined as follows:

Pension = Pension credit / (Factor x Revaluation factor)

Where:

Pension credit is the share of the cash equivalent following a pension sharing order.

Factor is the factor from Table P2PCM1 for a male pension credit member or Table P2PCF1 for a female pension credit member (Tables 0-305 and 0-306 respectively in the consolidated factors workbook), based on the age (complete years) and NPA of the ex-partner (or pension credit member) at the calculation date. The factor should be interpolated where the pension credit member's NPA is not a whole number.

Revaluation factor depends on the number of 1 Aprils between the calculation date and the pension credit member's NPA. The Revaluation factor should be taken from Table 0-001 in the consolidated factors workbook.

When the pension credit is converted to a pension for an ex-partner who is over their NPA at the date of calculation, then the Revaluation Factor should be treated as 1.0000

The factors used to calculate the benefits for the ex-partner should be consistent with the factors used to calculate the CE (and hence Pension Credit). If there is any doubt over which factors should be used, please contact GAD.

A pension credit member's NPA is not affected by the pension debit member's NPA or a pension debit member's purchase of Effective Pension Age (EPA). If the pension credit member is additionally a member of the alpha scheme then any purchase of EPA does not affect the NPA in respect of their benefits as a pension credit member.

A pension credit member who retires early will have their pension credit related benefits reduced for early payment by reference to their NPA. The early payment reduction will be applied to the pension credit member's pension in line with the early payment reduction guidance assuming that it applies to a pension credit member's pension. Further detail of this is set out in the early retirement guidance for alpha members. Only the early payment reduction part of that guidance applies to pension credit members.

Alternatively a pension credit member retiring early can buy out the actuarial reduction. The actuarial reduction buyout factors will be applied to the pension credit member's pension in line with the actuarial reduction buyout guidance assuming that it applies to a pension credit member. Please refer to the guidance for actuarial reduction buyout (ARBO) from alpha.