Defined Benefit Administration
Most Defined Benefit Pension Schemes are now closed either to new entrants or future accrual and as such Employers and Trustees are looking at a reduced time horizon, although this can still be up to 70 years, until such time as the benefits can be bought out, or the last member receives their pension.
Defined Benefit Administration can be complex; therefore, Employers and Trustees must take time to consider and understand:
- the financial impact of increasing pension administration costs;
- whether changes must be made to existing schemes and/or alternative options need to be explored;
- the impact of changes in Pensions legislation to existing procedures to ensure compliance.
Goddard Perry provide full Third-party administration services, linked to our Actuarial service via our Sabre system. Sabre is a fully automated system which allows Trustees and Employers to monitor the health of the Pension Scheme on a daily basis, if required, whereby any member status changes, retirements, transfers, deaths, etc. automatically update the actuarial valuation information and ensures that Employers and Trustees are aware of the changing nature of their liabilities.
As Sabre is a fully automated system, we are able to generate member communications at retirement and on transfer without the need for manual intervention, although checks are carried out to ensure that the information provided is correct. This is achieved by fully programming all benefit eventualities at outset, which also enables actuarial valuations to be carried out more efficiently.
Our Service includes:
Planning & Consulting
- Initial meeting to understand your business and create a project plan to manage the migration process from your existing provider.
- Analysis of your existing pension payroll and financial arrangements, and if required a referral of the services we offer in relation to this.
- Consultation and advice on the key points to consider, our migration requirements and identification of any other relevant issues.
Implementation and Member Communications
- Full assistance with the implementation of your Pension Scheme.
- A communication to all members of your Pension Scheme, tailored to suit your requirements.
- A benefit audit to identify any missing member dated and any areas where historic administration practice may not have been in line with the Pension Scheme Rules.
- Full administrative support for members via e-mail or telephone.
- Auto-generated tasks in line with key member and Scheme events.
- Ongoing Employer and Trustee support ensuring continued compliance regarding Pensions legislation.
- Processing of key monthly/annual tasks on an ongoing basis – such as:
- Pension increases
- Annual renewals and Benefit Statements
- Issue transfer values
- Payroll administration
- Issue retirement illustrations
- Handling member deaths, including the coordination of fact finding to enable the Trustees to settle any discretionary benefits and the payment of any benefits that arise under the Pension Scheme Rules
- Regular administration reports regarding the activity in the Pension Scheme and any ongoing work or projects
- Scheme Accounting if required
- Management of the Trustee Bank Account if required
If you require more information or assistance regarding your Pension Scheme administration requirements, please email us.