The Teachers' Superannuation (Amendment) Regulations 1996

1

Subject to paragraphs (3) to (3B) and (6) to (12), the contributable salary of a person to whom the School Teachers' Pay and Conditions Act 19914 (“the 1991 Act”) applies is the total of —

a

the amounts payable by his employer under any order under section 2 of the 1991 Act for the time being in force or under any document referred to in such an order;

b

the amounts payable by his employer in respect of his pensionable employment in satisfaction of any contractual liability arising out of sickness or maternity;

c

the amounts payable by his employer in respect of his pensionable employment in satisfaction of any statutory liability arising out of sickness or maternity; and

d

if the employer has satisfied the Secretary of State that it is expedient for residential accommodation to be provided free in connection with the employment, the money value as an allowance in kind of —

i

the accommodation provided, and

ii

any heat, lighting or water provided free or council tax paid in connection with it.

2

Subject to paragraphs (3) to (12), the contributable salary of a person to whom paragraph (1) does not apply is the total of —

a

all the salary, wages, fees and other payments paid to him for his own use in respect of his pensionable employment;

b

the amounts mentioned in paragraph 1(c); and

c

the amounts mentioned in paragraph 1(d).

3

If the money value of any accommodation provided free exceeds one sixth of the aggregate of the amounts mentioned in paragraph (1)(a) to (c), or, as the case may be, paragraph (2)(a) and (b), the excess is not part of the person’s contributable salary.

3A

A person’s contributable salary does not include —

a

any allowance in kind not falling within paragraph (1)(d) or (2)(c);

b

any payment by way of bonus;

c

any payment in respect of overtime, or

d

any payment by way of travelling or expense allowance.

3B

For the purposes of paragraph (3A) —

a

a payment by way of bonus shall not include any payment calculated by reference to the performance of the person in question or the performance of the institution where he is employed;

b

a payment by way of bonus shall not include any payment made to the person in question where such a payment is made as part of a pay settlement which applies to all persons, or to all persons of a particular class or description, employed at the institution;

c

if at any time a payment is made to a person which is not part of his contributable salary then any subsequent payment of the same nature is a payment by way of bonus (whether or not it is described as such); and

d

if at any time a payment is made to a person which is part of his contributable salary then any subsequent payment of the same nature is not a payment by way of bonus (whether or not it is described as such).

b

has effect from the day after the last day on which the person’s salary was payable at the rate applicable immediately before the reduction,

2A

Subject to paragraphs (6), (7), (9) and (12A) the employer of a person to whom this regulation applies may elect to pay additional contributions in respect of the person in accordance with Part II of Schedule 4 (“Method B”).

12A

An election under paragraph (2A) must be made by giving written notice to the Secretary of State which —

a

is to specify the person in respect of whom it is made, and

b

is to specify the past period.

2

The relevant period is the period of one month beginning when he ceased to be in pensionable employment.

2

The return —

a

may in any case, and

b

if the amount of the contributions, together with the interest payable does not exceed £500, must be made by a single payment which must be made within ten weeks of the giving of notice under paragraph (1).

7A

Instalments are of equal amounts unless in any year the payment of an instalment of an amount equal to that paid in previous years would exceed the limit specified in paragraph (8) and in that event the instalments (and the corresponding period over which they are payable) shall be recalculated so that they do not exceed that limit.

8

The annual amount of instalments paid under paragraph (7) is to be such that A+B does not exceed 15% of the annual rate of the person’s contributable salary in the year where —

• A is the annual amount of the instalments; and

• B is the annual amount of other contributions paid under Part C (except any treated for the purposes of regulation G2 as employer’s contributions) or towards the provision of a pension otherwise than under these Regulations.

1A

For the purposes of paragraph (1) a person who has at any time during the contribution period been in part-time pensionable employment shall not be treated as having completed the payment of additional contributions in accordance with Part I of Schedule 4 unless (in addition to the payments in accordance with that Part) he pays a lump sum determined in accordance with paragraph (1B).

1B

The lump sum referred to in paragraph (1A) is such sum as would be payable under Part II of Schedule 4 in order to count as reckonable service a period equivalent to the difference between the length of reckonable service which arises from the additional contributions paid during the contribution period and the length of such service if the person had been in full-time pensionable employment throughout the contribution period and paid additional contributions accordingly.

1C

In paragraphs (1A) and (1B) “the contribution period”means the period during which additional contributions in accordance with Part I of Schedule 4 were paid.

c

has ceased after attaining that age to be —

i

in pensionable employment;

ii

in excluded employment; or

iii

in employment which would be pensionable employment but for the fact that the person has not made an election under regulation B1(4), and

9

In Case E the entitlement takes effect —

a

where immediately before the person became incapacitated he was in employment of the type described in paragraph (7)(c)(ii) or (iii), on the day after the last day of his employment; and

b

in any other case —

i

as soon as the person falls within the case, or

ii

if later, 6 months before the date of the last of any medical reports considered by the Secretary of State in determining under regulation H7 that the person has become incapacitated.

3

Subject to paragraph (4) the duration of the short-term pension payable shall be determined from the table below and, in that table, “adult pension”means a short-term pension payable to the spouse or nominated beneficiary.

Category	Person falling within regulation E23 (2)	Duration of pension (months)
1.	Spouse or nominated beneficiary	3
2.	One child or more where an adult pension is payable	3
3.	One child or more where no adult pension is payable	6

a

where paragraph (6)(a) applies, the due date immediately following the date on which the person’s entitlement to benefit took effect, and

aa

the English Sports Council, or

• St George’s English School, Rome, (Italy);

• St Catherine’s British Embassy School, Athens (Greece); or

• The British Primary School, Tervuren, Belgium.

2A

An election under this sub-paragraph may be made when the person has been in full-time pensionable employment throughout the contribution period;

2B

An election under sub-paragraph (2A) is an election to complete the payment of additional contributions (so that regulation D3(1)(b) will apply instead of regulation D3 (2)) by making a lump sum payment the amount of which shall be determined in accordance with sub-paragraphs (3), (4) or (5) as the case may be.

5A

An election under this sub-paragraph may be made where the person has been in part-time pensionable employment at any time during the contribution period

5B

An election under sub-paragraph (5A) may be —

a

an election to make a payment such that the person will be entitled to count as reckonable service the number of years which he would have been entitled to count if he had been in full-time pensionable employment throughout such of the contribution period as had elapsed before he ceased to be in pensionable employment and had paid additional contributions accordingly (so that regulation D3(2) and paragraph 1C of Schedule 7 will apply accordingly);

b

an election to complete payment of additional contributions as if he had been in full-time pensionable employment from the date on which he ceased to be in pensionable employment to the end of the contribution period (so that regulation D3(2) and paragraph 1D of Schedule 7 will apply accordingly); or

c

an election to complete payment of additional contributions as if he had been in full-time pensionable employment throughout the contribution period (so that regulation D3(1)(b) will apply instead of regulation D3(2));

• in each case by making a lump sum payment.

5C

Where the election is made under paragraph (a) of sub-paragraph (5B) the amount of the lump sum payment shall be such amount as would be payable under Part II of this Schedule in order to count as reckonable service the difference between the length of reckonable service arising from the additional contributions paid during such of the contribution period as had elapsed before the person ceased to be in pensionable employment and the length of such service if the person had been in full-time pensionable employment throughout that period and paid additional contributions accordingly.

5D

Where an election is made under paragraph (b) of sub-paragraph (5B) the amount of the lump sum payment is one of the following amounts as appropriate —

a

the amount referred to in sub-paragraph (3) on the assumption that the person would have been in full-time pensionable employment for the remainder of the contribution period;

b

the amount referred to in sub-paragraph (4) on the assumption that the person would have been in full-time employment during such part of the contribution period as would have fallen after he attained the age of 60;

c

the amount referred to in sub-paragraph (5) modified (in a case where the person was employed part-time immediately before he ceased to be in pensionable employment) such that in place of the definition of E there is substituted the following definition —

E

is the amount of the additional contributions for one year at the rate at which they would have been last payable on the assumption that the person would have been in full-time pensionable employment

5E

Where an election is made under paragraph (c) of sub-paragraph (5B) the amount of the lump sum payment is the aggregate of the amounts referred to in sub-paragraphs (5C) and (5D).

5F

An election under sub-paragraph (5A) shall state whether it is an election under paragraph (a), under paragraph (b) or under paragraph (c) of sub-paragraph (5B).

1A

Where a woman’s pensionable employment is part-time the reference in sub-paragraph (1)(d) to the rate at which contributions are to be paid is a reference to the rate as a percentage of the woman’s full-time equivalent salary.

1B

1

This paragraph applies where a person has paid additional contributions for a past period in accordance with Part I of Schedule 4 for the whole of the period during which they were to be paid (“the contribution period”) and

a

has been in part-time employment at some time during the contribution period; but

b

has not made a lump sum payment under regulation D3(1B).

2

In this paragraph A is the past period and B is the contribution period.

3

The person is entitled to count as reckonable service —

$\mathrm{A}\times \genfrac{}{}{0.1ex}{}{\mathrm{C}}{\mathrm{B}}$

where C is the period which the person is entitled to count as reckonable service (calculated in accordance with the formula in regulation D1(2)) which arises from the additional contributions paid during the contribution period.

1C

1

This paragraph applies where a person paying additional contributions for a past period in accordance with Part I of Schedule 4 —

a

has been in part-time employment at some time during the period during which contributions were to be paid (“the contribution period”);

b

ceases to be in pensionable employment before the end of the contribution period; and

c

pays a lump sum under paragraph 5(5C) of Schedule 4.

2

In this paragraph A is the past period and B is the contribution period.

3

The person is entitled to count as reckonable service —

$\mathrm{A}\times \genfrac{}{}{0.1ex}{}{\mathrm{C}}{\mathrm{B}}$

where C is so much of B as has elapsed when the pensionable employment ended.

1D

1

This paragraph applies where a person paying additional contributions for a past period in accordance with Part I of Schedule 4 —

a

has been in part-time employment at some time during the period during which contributions were to be paid (“the contribution period”);

b

ceases to be in pensionable employment before the end of the contribution period; and

c

pays a lump sum under paragraph 5(5D) of Schedule 4.

2

In this paragraph A is the past period and B is the contribution period.

3

The person entitled to count as reckonable service

$\mathrm{A}\times \genfrac{}{}{0.1ex}{}{\mathrm{C}}{\mathrm{B}}$

where C is the aggregate of —

1. a

   the period which the person is entitled to count as reckonable service (calculated in accordance with the formula in regulation D1(2)) which arises from the additional contributions paid during so much of the contribution period as had elapsed when the pensionable employment ended; and

2. b

   the period from the date when the pensionable employment ended to the end of the contribution period.

and, in the case of a person in part-time pensionable employment, on the assumption that he had made an election under paragraph 5(5B)(c) of Schedule 4

11A

1

This paragraph applies where —

a

the condition specified in paragraph 11(1)(b) applies;

b

the person has made an election under regulation B7 (resumption of pensionable status);

c

the previous election under regulation B6 (election not to be pensionable) was made before 30th June 1994;

d

the person has been in excluded employment between the date of the election under regulation B6 and the date of the election under regulation B7;

e

a transfer value was paid under regulation F1 in respect of the person in consequence of him ceasing to be in pensionable employment by virtue of the election under regulation B6;

f

the person is an individual as is mentioned in section 172(1) of the Pensions Act 199512;

g

the Secretary of State accepts a transfer value under regulation F5 of the amount specified in sub-paragraph (3).

2

In this paragraph “the period of original pensionable employment”means the period during which the person was in pensionable employment before he made his election under regulation B6.

3

The amount referred to in sub-paragraph (1)(g) is A+B where —

• A is the transfer value which, calculated on the basis specified in paragraph 11(2), would enable the person to count the period of excluded employment as reckonable service as if it had been pensionable employment; and

• B is the greater of —

  1. a

     the transfer value paid under regulation F1 in respect of the person in consequence of his ceasing to be in pensionable employment by virtue of his election under regulation B6 together with —

     1. i

        in a case where the transfer value is paid to the Secretary of State pursuant to regulation F5 within four weeks of the request under regulation F5(2) an amount, determined actuarially, which represents the income which would have been received had such sum been invested during the period starting at the end of the month in which the transfer value was paid under regulation F1 and ending at the end of the month in which the request under regulation F5(2) was made; and

     2. ii

        in any other case, the amount referred to in paragraph (i) above together with a further amount, determined actuarially, which represents the income which would have been received compounded with monthly rests, had such sum been invested during the period starting at the end of the month in which the request under regulation F5(2) was made and ending at the end of the month in which the transfer value is paid to the Secretary of State; and

  2. b

     the amount which would be paid as a transfer value under regulation F1 in respect of the person if at the date on which he made the election under regulation B7 —

     1. i

        he was in pensionable employment and made an election under regulation B6; and

     2. ii

        he had been in pensionable employment for a period equal to the period of original pensionable employment.

4

Where this paragraph applies the person is entitled to count as reckonable service —

a

the reckonable service arising from the period of original pensionable employment; and

b

such service arising from the period of excluded employment as if it had been pensionable employment.