This guidance sets out how the factors should be used to determine the cost to members of purchasing periods of past service which did not accrue family benefits in the TPS.
Periods of 'non-qualifying service' for the purposes of accruing family benefits are defined in the Regulations.
A member can purchase additional family benefits either by lump sum or by regular contributions, as defined in the Regulations.
If a member elects to purchase additional family benefits through a lump sum, the contribution payable to the scheme should be calculated as,
Contribution payable = A x B x C
Where,
- A is the factor from the Table 801 in Factor Tables (Table 728 in the Consolidated Factors Workbook) chosen according to the sex of the member and the dependant,
- B is the amount of non-qualifying service, in years, to be purchased, and
- C is the annual rate of the member's contributable salary.
If a member elects to purchase additional family benefits by paying regular contributions based on a chosen percentage of their contributable salary, then the period, in years, over which this should be paid should be calculated as,
Payment period = (A / B) x C
Where,
- A is the amount of non-qualifying service, in years, to be purchased,
- B is the member's chosen contribution rate as a percentage of salary, and
- C is the factor from the Table 801 in Factor Tables (Table 728 in the Consolidated Factors Workbook) chosen according to the sex of the member and the dependant.
