St Clements House - Bristol

Glossary

A - Z

A
B
C
D
E
F
G
H
I
J
K
L
M
N
O
P
Q
R
S
T
U
V
W
X
Y
Z

A

Adult Dependant

An adult dependant who you have nominated to receive a pension on your death. Such person must, in the Trustee’s opinion be wholly or partly financially dependent on you. You may only make a nomination if you are not married or in a civil partnership. This term is also used to describe an adult dependant  who was not nominated but who was, in the Trustee’s opinion wholly or financially dependent on you and who the Trustee, with the agreement of BT, decide to treat as though they have been nominated.

Annual Allowance

The Annual Allowance is the maximum amount of pension savings that can build up in a tax year and benefit from tax relief. In the 2017/18 tax year the Annual Allowance is £40,000 for most members, although members with taxable income of £110,000 or more , or members who have already accessed some of their pension savings, may have a lower Annual Allowance.

Annuity

The pension income payable to you when you retire.


B

BT

British Telecommunications plc. This term also includes any subsidiary or associated company whose employees are admitted to the BTPS.

BTPS

BT Pension Scheme


C

CETV

A Cash Equivalent Transfer Value (CETV) is a cash amount that is intended to reflect the total value of a member’s pension benefits in a scheme.

Civil Partner

This is the person you have entered into a registered Civil Partnership with under the Civil Partnership Act 2004.


D

Dependant

Your Spouse or any other person who, in the opinion of the Trustee, is financially dependant upon you at the date you take your pension or die.


E

Earnings Cap

A cap on the amount of earnings that can be pensionable under the BTPS

Eligible Children

In most cases, this means your own or adopted child under age 17 or later if still in full-time education/vocational training and the Trustee so decides (though not normally beyond age 23).

Employer Credits

The Company will pay contributions on your behalf upon your joining the DC Section of the Scheme. These are known as Employer Credits.


F

Final Pensionable Salary

Your salary upon which any retirement benefits will be calculated either on retirement, death or leaving service.

Flexible Retirement

You no longer need to stop working for the Company before taking your pension benefits.


G

Guaranteed Minimum Pension, GMP

The minimum pension that must be provided in respect of contracted out National Insurance contributions paid between April 1978 and April 1997.


L

Lifetime Allowance

The overall maximum capital amount of pension savings that any one individual can accumulate in all registered pension arrangements that can benefit from tax reliefs. This is £1 million for the tax year 2017/18, but is expected to be increased in line with CPI inflation from 2018/19.


N

Normal Pension Age

Normal pension age is the normal retirement date under the scheme rules (or such earlier age as specified in the rules) where you can retire without actuarial reduction.


P

Pensionable Salary

Your basic annual pay including any London Weighting and certain other allowances but excluding overtime.

Pensionable Service

Most of your benefits are based on your Pensionable Service which normally comprises of your service whilst a member of the BTPS and any of its predecessors plus any service purchased within the BTPS by payment of a transfer value from another scheme plus any Added Years of service bought by you.


S

Spouse

This is the person to whom you are legally married.

State Pension Age

The age at which your State Pension becomes payable.

State Second Pension, S2P, SERPS

The additional State pension (previously known as SERPS) on top of the basic State pension that you earned after 5 April 2009 when the Scheme stopped being contracted out. The amount you get depends on your National Insurance contributions paid after 5 April 2009.


T

The Trustee

The Trustee of the Scheme is responsible for ensuring that the Scheme is administered in accordance with the Trust Deed and Rules. The Trustee holds, manages and invests assets for the benefit of members and their beneficiaries.

Trustee Directors

An individual, either appointed by the Company or nominated by the Scheme members, who along with other Directors form the board of the Trustee.