The Teachers’ Pension Scheme (Scotland) (No. 2) Regulations 2014

  1. Introductory Text

  2. PART 1

    1. 1.Citation, extent and commencement

    2. 2.Establishment of Scottish Teachers’ Pension Scheme 2015

    3. 3.Interpretation

    4. 4.Connected schemes

    5. 5.Leaving pensionable service

    6. 6.Leaving eligible employment

  3. PART 2

    1. 7.Scheme manager

    2. 8.Establishment of pension board

    3. 9.Membership of pension board

    4. 10.Establishment of scheme advisory board

    5. 11.Membership of scheme advisory board

    6. 12.Conflict of interest

  4. PART 3

    1. CHAPTER 1

      1. 13.Meaning of “an eligible employment”

      2. 14.Meaning of “P’s automatic enrolment date” and “P’s automatic re-enrolment date”

      3. 15.Meaning of “full-time” and “part-time” employment

      4. 16.Meaning of “irregular employment”

      5. 17.Meaning of “opt-out notice” and “opt-in notice”

    2. CHAPTER 2

      1. 18.Eligibility for active membership

      2. 19.More than one employment

      3. 20.Dual capacity membership

      4. 21.Payment of retirement benefits to dual capacity members

    3. CHAPTER 3

      1. SECTION 1

        1. 22.Service not pensionable unless member is entitled to pay

        2. 23.Service not pensionable unless members’ contributions are paid

      2. SECTION 2

        1. 24.Pensionable service – armed forces service

        2. 25.Election for armed forces service to be pensionable

      3. SECTION 3

        1. 26.Pensionable service on or after automatic enrolment date

        2. 27.Opting out of this scheme after automatic enrolment date

        3. 28.Opting into this scheme after automatic enrolment date

      4. SECTION 4

        1. 29.Pensionable service before automatic enrolment date

        2. 30.Opting out of this scheme before automatic enrolment date

        3. 31.Opting into this scheme before automatic enrolment date

    4. CHAPTER 4

      1. 32.Interpretation

      2. 33.Pensionable earnings

      3. 34.Amounts not forming part of pensionable earnings

      4. 35.Application for residential benefits in kind to form part of pensionable earnings

      5. 36.Money value of residential benefits in kind to form part of pensionable earnings

      6. 37.Pensionable earnings for the purpose of accruing benefits

    5. CHAPTER 5

      1. 38.Multiple regular full-time or part-time employments

      2. 39.Multiple employments including at least one irregular employment

  5. PART 4

    1. CHAPTER 1

      1. 40.Interpretation

      2. 41.Pensionable service

      3. 42.Meaning of “leaver index adjustment”

      4. 43.Meaning of “leaver PIA index adjustment”

    2. CHAPTER 2

      1. 44.Calculation of amount of accrued pension for purposes of retirement other than phased retirement

      2. 45.Calculation of amount of accrued pension for purpose of phased retirement

    3. CHAPTER 3

      1. 46.Establishment of pension accounts: general

      2. 47.Closure of pension accounts on transfer out or repayment of balance of contributions

    4. CHAPTER 4

      1. 48.Establishment of active member’s account

      2. 49.Receipt of transfer values

      3. 50.Receipt of club transfer values

      4. 51.Account to specify amount of pension for a financial year

      5. 52.Account to specify opening balance and index adjustment

      6. 53.Ill-health pension ceases to be payable

      7. 54.Phased retirement pension ceases to be payable

    5. CHAPTER 5

      1. 55.Establishment of additional pension account

      2. 56.Account to specify amount of additional pension

      3. 57.Account to specify opening balance and PIA index adjustment

      4. 58.Ill-health pension ceases to be payable

      5. 59.Phased retirement pension ceases to be payable

    6. CHAPTER 6

      1. 60.Establishment of deferred member’s account

      2. 61.Account to specify amount of accrued earned pension and leaver index adjustment

      3. 62.Account closed after break not exceeding 5 years or after service under another public service scheme

      4. 63.Account remains open after disqualifying break of more than 5 years

      5. 64.Account established after ill-health pension ceases to be payable

      6. 65.Account established after phased retirement pension ceases to be payable

    7. CHAPTER 7

      1. SECTION 5

        1. 66.Meaning of “full retirement earned pension”

        2. 67.Meaning of “full retirement additional pension”

        3. 68.Meaning of “phased retirement earned pension”

        4. 69.Meaning of “phased retirement additional pension”

        5. 70.Meaning of “standard reduction”

        6. 71.Meaning of “actuarial adjustment”

        7. 72.Meaning of “commutation amount”

      2. SECTION 6

        1. 73.Pension accounts for active or deferred members who become pensioner members

        2. 74.Pension accounts for phased retirement members

      3. SECTION 7

        1. 75.Ill-health pension ceases to be payable

        2. 76.Phased retirement pension ceases to be payable

    8. CHAPTER 8

      1. 77.Pension accounts for pension credit members

      2. 78.Separate account for each capacity of membership

  6. PART 5

    1. CHAPTER 1

      1. 79.Qualifying for retirement benefits

      2. 80.Re-qualifying for retirement benefits in respect of post-benefit service

      3. 81.Payment of retirement benefits for post-benefit service

    2. CHAPTER 2

      1. 82.Meaning of “entitlement day” (age retirement pension)

      2. 83.Entitlement to age retirement pension

      3. 84.Annual rate of age retirement pension

      4. 85.Arrears of pension payable to deferred member who becomes pensioner member after reaching normal pension age

    3. CHAPTER 3

      1. 86.Interpretation of Chapter

      2. 87.The reduced annual rate condition

      3. 88.The new employment condition

      4. 89.Meaning of “entitlement day” (phased retirement pension)

      5. 90.Entitlement to phased retirement pension

      6. 91.Phased retirement applications

      7. 92.Phased retirement proportion

      8. 93.Annual rate of phased retirement pension

      9. 94.Cessation of phased retirement pension

      10. 95.Subsequent phased retirement applications

    4. CHAPTER 4

      1. 96.Interpretation “pensionable service”

      2. 97.Meaning of “entitlement day” (premature retirement pension)

      3. 98.Entitlement to premature retirement pension

      4. 99.Annual rate of premature retirement pension

    5. CHAPTER 5

      1. 100.Meaning of “entitlement day” (early retirement pension)

      2. 101.Entitlement to early retirement pension

      3. 102.Annual rate of early retirement pension

    6. CHAPTER 6

      1. SECTION 1

        1. 103.Interpretation

        2. 104.Incapacity definitions

        3. 105.Ill-health applications

      2. SECTION 2

        1. 106.Entitlement day for ill-health pension

        2. 107.Entitlement to ill-health pension

        3. 108.No entitlement to ill-health pension

        4. 109.When ill-health pension does not become payable

        5. 110.Annual rate of ill-health pension

        6. 111.When ill-health pension ceases to be payable

      3. SECTION 3

        1. 112.Meaning of “entitlement day” (total incapacity pension)

        2. 113.Entitlement to total incapacity pension

        3. 114.Annual rate of total incapacity pension

        4. 115.Cessation of total incapacity pension

    7. CHAPTER 7

      1. 116.Application for payment of grant

      2. 117.Meaning of “entitlement day” (short-service serious ill-health grant)

      3. 118.Entitlement to short-service serious ill-health grant

      4. 119.Amount of grant

    8. CHAPTER 8

      1. 120.Meaning of “entitlement day” (short-service annuity)

      2. 121.Entitlement to short-service annuity

      3. 122.Annual rate of short-service annuity

  7. PART 6

    1. CHAPTER 1

      1. 123.General

      2. 124.When a retirement pension does not become payable

      3. 125.Meaning of “dies in service”

      4. 126.Meaning of “dies out of service”

      5. 127.Meaning of “dies as a pensioner member”

      6. 128.Payment of survivor benefits for post-benefit service

      7. 129.Death of a dual capacity member

    2. CHAPTER 2

      1. 130.Meaning of “death grant beneficiary”

      2. 131.Meaning of “surviving adult”

      3. 132.Meaning of “surviving nominated partner”

      4. 133.Meaning of “surviving nominated beneficiary”

      5. 134.Meaning of “eligible child”

    3. CHAPTER 3

      1. SECTION 1

        1. 135.Payment of death grant

      2. SECTION 2

        1. 136.Death in service grant

      3. SECTION 3

        1. 137.Death out of service grant

        2. 138.Supplementary death grant payable on death of pensioner member

    4. CHAPTER 4

      1. 139.Surviving adult pensions

      2. 140.Annual rate of surviving adult pension: short-term

      3. 141.Annual rate of surviving adult pension: long-term

      4. 142.Enhancement of surviving adult pension

    5. CHAPTER 5

      1. 143.Additional pensions for surviving adults

      2. 144.Annual rate of additional (surviving adult) pension: short-term

      3. 145.Annual rate of additional (surviving adult) pension: long-term

    6. CHAPTER 6

      1. 146.Entitlement to child pension

      2. 147.Annual rate of child pension: short-term

      3. 148.Annual rate of child pension: long-term

      4. 149.Enhancement of child pension

  8. PART 7

    1. CHAPTER 1

      1. 150.Interpretation of Part

    2. CHAPTER 2

      1. 151.Entitlement day for pension credit retirement pension

      2. 152.Entitlement to pension credit retirement pension

      3. 153.Annual rate of pension credit retirement pension

    3. CHAPTER 3

      1. 154.Meaning of death grant beneficiary

      2. 155.Death grant: death of pension credit member before pension becomes payable

      3. 156.Death grant: death of pension credit member after benefits payable

      4. 157.Payment of death grant

  9. PART 8

    1. CHAPTER 1

      1. 158.Benefits payable by the scheme manager

      2. 159.Application for payment of benefits

    2. CHAPTER 2

      1. 160.Payment of pension

    3. CHAPTER 3

      1. 161.Member declaration

      2. 162.Commutation of part of pension

      3. 163.Amount of lump sum payable under regulation 162

      4. 164.Commutation amount for lump sum payable under regulation 162

      5. 165.Commutation of whole pension (serious ill-health)

      6. 166.Amount of lump sum payable under regulation 165 instead of retirement pension

      7. 167.Amount of lump sum payable under regulation 165 instead of a pension credit retirement pension

      8. 168.Commutation: small pensions

    4. CHAPTER 4

      1. 169.Evidence of continuing entitlement to benefit

      2. 170.Cessation of benefits where no entitlement

    5. CHAPTER 5

      1. 171.Recovery of overpayment of benefits

      2. 172.Interest on late payment of benefits

      3. 173.Payment of benefits in certain cases

      4. 174.Benefits not assignable

      5. 175.Forfeiture of benefits

      6. 176.Reduction of benefits: annual allowances and lifetime allowance charge

      7. 177.General prohibition on unauthorised payments

  10. PART 9

    1. CHAPTER 1

      1. 178.Pensionable earnings for a pay period

    2. CHAPTER 2

      1. 179.Contributions for standard earned pension

      2. 180.Contributions under Schedule 2

      3. 181.Contributions payable during a period of permanent service in the armed forces

    3. CHAPTER 3

      1. 182.Meaning of “entitlement day” (repayment of balance of contributions)

      2. 183.Entitlement to repayment of balance of contributions

      3. 184.Application for repayment of balance of contributions

      4. 185.Calculation of balance of contributions

    4. CHAPTER 4

      1. 186.Employers’ contributions

    5. CHAPTER 5

      1. 187.Deduction of contributions from pensionable earnings

      2. 188.Deductions not made before an employment ends

      3. 189.Recovery of unpaid contributions from benefits

      4. 190.Payment by employers to scheme manager

  11. PART 10

    1. CHAPTER 1

      1. 191.Application of Part

      2. 192.Interpretation of Part

    2. CHAPTER 2

      1. SECTION 1

        1. 193.Application of Chapter

      2. SECTION 2

        1. 194.Application of this Section

        2. 195.Application for a statement of entitlement

        3. 196.Application for payment of a transfer value

        4. 197.Payment of a transfer value

      3. SECTION 3

        1. 198.Application for acceptance of a transfer value

        2. 199.Acceptance of a transfer value

        3. 200.Amount of transferred pension

    3. CHAPTER 3

      1. SECTION 1

        1. 201.Application of Chapter

      2. SECTION 2

        1. 202.Application of this Section

        2. 203.Application for a club transfer statement of entitlement

        3. 204.Application for payment of a club transfer value

        4. 205.Payment of a club transfer value

      3. SECTION 3

        1. 206.Application for acceptance of a club transfer value

        2. 207.Acceptance of a club transfer value

        3. 208.Amount of club transfer earned pension

  12. PART 11

    1. 209.Employment records

    2. 210.Information and documents

    3. 211.Provision of benefit information statements to members

    4. 212.Extension of time

    5. 213.Guaranteed minimum pension

    6. 214.Transitional provisions

    7. 215.Revocation

  13. Signature

    1. SCHEDULE 1

      Eligible employment

      1. PART 1 General

        1. 1.Interpretation

        2. 2.Meaning of “accepted school”

      2. PART 2 Pensionable service

        1. 3.Employment as a teacher in a public or grant-aided school,...

        2. 4.(1) Subject to sub-paragraph (2), employment as a teacher in...

        3. 5.Employment as a teacher in an independent school which is...

        4. 6.Employment as a teacher in a college of further education...

        5. 7.Employment as a teacher in the Scottish Further Education Unit....

        6. 8.Employment as a teacher in a university or part of...

        7. 9.Employment as a teacher in the Faculty of Education at...

        8. 10.Employment as a teacher in the Schools of Architecture, Town...

        9. 11.Employment as a teacher in the Faculty of Education or...

        10. 12.Employment as a teacher in the Faculty of Engineering or...

        11. 13.Employment as a teacher in the Faculty of Education at...

        12. 14.Employment as a teacher in the Faculty of Education at...

        13. 15.Employment as a teacher in Edinburgh College of Art, a...

        14. 16.(1) Employment as a teacher of a kind not elsewhere...

        15. 17.Continuation in employment on and after 1st April 2015 of...

    2. SCHEDULE 2

      Scheme flexibilities

      1. PART 1 General

        1. 1.Interpretation of Schedule

        2. 2.Meaning of “amount of extra pension”

        3. 3.Meaning of “overall amount of extra pension”

        4. 4.Limit on elections

        5. 5.Actuarial advice

      2. PART 2 Additional pension election

        1. CHAPTER 1 Making an additional pension election

          1. 6.Election to pay contributions for additional pension

          2. 7.Annual rate of additional (self only) pension

          3. 8.Lump sum or monthly payments

          4. 9.Making an additional pension election

          5. 10.Accepting an additional pension election

        2. CHAPTER 2 Amount of additional pension contributions

          1. 11.Determination of contributions payable

        3. CHAPTER 3 Additional pension contributions paid by lump sum

          1. 12.Lump sum contributions: payment of contributions and credit of additional pension

          2. 13.Refund of lump sum contribution

        4. CHAPTER 4 Additional pension contributions by monthly payments

          1. 14.Application of Chapter

          2. 15.Payment of contributions

          3. 16.Member leaves all pensionable service before end of contributions payment period

          4. 17.Retirement pension (other than ill health pension) becomes payable before end of contributions payment period

        5. CHAPTER 5 Revocation and refund

          1. 18.Revoking an additional pension election

          2. 19.Ill health pension becomes payable before end of contributions payment period

          3. 20.Death in service before end of contributions payment period

          4. 21.Member leaves all pensionable service before qualifying for retirement benefits

      3. PART 3 Faster accrual election

        1. CHAPTER 1 Making the election

          1. 22.Faster accrual election

          2. 23.Making a faster accrual election

          3. 24.Accepting a faster accrual election

        2. CHAPTER 2 Payment of contributions

          1. 25.Determination of contributions payable

          2. 26.Payment of contributions

        3. CHAPTER 3 Revocation and refund

          1. 27.Revoking a faster accrual election

          2. 28.Member leaves all pensionable service before qualifying for retirement benefits

      4. PART 4 Election to buy out the standard reduction

        1. CHAPTER 1 General

          1. 29.When the standard reduction applies

          2. 30.Determination of the buy-out value

        2. CHAPTER 2 Making a buy-out election

          1. 31.Eligible to make buy-out election

          2. 32.Making a buy-out election

          3. 33.Accepting a buy-out election

        3. CHAPTER 3 Payment of buy-out contributions

          1. 34.Determination of contributions payable

          2. 35.Payment of buy-out contributions

          3. 36.Monthly payments during gap in service

        4. CHAPTER 4 Revocation and refund

          1. 37.Revoking a buy-out election

          2. 38.Member leaves all pensionable service before qualifying for retirement benefits

    3. SCHEDULE 3

      Transitional provisions

      1. PART 1 Interpretation

        1. 1.Interpretation

        2. 2.Meaning of “active member of existing scheme”

        3. 3.Meaning of “continuity of service”

        4. 4.Gap in service after scheme closing date

        5. 5.Meaning of “closing date” for a tapered protection member

      2. PART 2 Exceptions for full protection members

        1. 6.Meaning of “full protection member”

        2. 7.Exception for full protection member during protection period

        3. 8.Full protection member not eligible to join this scheme

      3. PART 3 Exceptions for tapered protection members

        1. 9.Meaning of “tapered protection member”

        2. 10.Exception for tapered protection members during protection period

        3. 11.Tapered protection member not eligible to join this scheme

      4. PART 4 Transition members becoming active members of this scheme

        1. 12.Meaning of “transition member”

        2. 13.Active members of the existing scheme

        3. 14.Transition members with continuity of service

        4. 15.Transition members without continuity of service

      5. PART 5 Receipt of club transfer values

        1. 16.Application of Part

        2. 17.Member with full protection

        3. 18.Member with tapered protection or no protection

      6. PART 6 Payment of benefits to transition members

        1. CHAPTER 1 General

          1. 19.Reaching normal pension age

          2. 20.Application of existing scheme rules

          3. 21.Determination of final salary

          4. 22.Annual rate of pension

        2. CHAPTER 2 Application for payment of benefits

          1. 23.Application for payment of age retirement pension

          2. 24.Application for payment of phased retirement pension

          3. 25.Application for payment of premature retirement pension

          4. 26.Application for payment of early retirement pension

          5. 27.Application for payment of ill-health pension

          6. 28.Entitlement to payment of total incapacity pension

          7. 29.Calculation of retirement benefits after ill-health pension ceases to be payable

          8. 30.Reduction of ill-health pension and total incapacity pension

          9. 31.Entitlement to payment of a short-service serious ill-health grant

          10. 32.Application for payment of a surviving adult pension

          11. 33.Calculation of a surviving adult pension of a surviving adult of a transition member

          12. 34.Long-term rate of a surviving adult pension of a surviving adult of a transition member

          13. 35.Reduction of surviving adult pension

          14. 36.Application for payment of an additional (surviving adult) pension

          15. 37.Application for payment of a child pension

          16. 38.Calculation of a child pension of an eligible child of a transition member

          17. 39.Rate of a child pension of an eligible child of a transition member

          18. 40.Reduction of child pension

          19. 41.Application for payment of a death in service grant

          20. 42.Application for payment of a death out of service grant

          21. 43.Application for supplementary death grant

          22. 44.Application for payment of benefits for pension credit members

      7. PART 7 Provision in relation to existing scheme

        1. 45.Election to opt out of existing scheme continues to have effect

        2. 46.Qualifying for retirement benefits under existing scheme

        3. 47.Nomination continues to have effect

        4. 48.Repayment of balance of contributions

        5. 49.Residential emoluments

        6. 50.Transfer payments in respect of the existing scheme

        7. 51.Election to pay contributions by a person serving in a reserve force

  15. Explanatory Note