Charges

Paying for extra or urgent estimates

There is a charge for extra or urgent estimates of £100 plus VAT. Once you have agreed to it, Pensions Services will invoice you separately from the estimate itself.

Employer strain charge

You may have to pay a strain charge for the following kinds of retirements:

• Redundancy or efficiency of service
• For members who left the LGPS before April 2014 who retire before age 60
• Retirements where you have agreed to waive actuarial reductions
• For employees who are granted flexible retirement between the ages of 55 and 60 and they meet the 85 year rule

You should request an estimate for these kinds of retirements, which will include an estimate of any strain charge. Pensions Services will send you an invoice if you confirm that the retirement will go ahead.

LGPS administration

Employers indirectly meet the costs of our administration of the LGPS. The contribution rates set by the actuary cover this, as well as funding LGPS benefits. Those costs include:

• an appropriate share of our costs
• Corporate Finance costs
• payments made for actuarial services

These are all published in the Hampshire Pension Fund Annual Report and Accounts.

Discretionary compensation

We do work for employers on discretionary compensation for early termination of employment. We could charge employers directly for such work, but instead we treat this work as part of LGPS administration, which is charged to the fund. This simplifies charging arrangements.

However, we charge for making compensatory payments to anyone who does not receive an LGPS pension.

Extraordinary services

We reserve the right to make additional charges to employers who need extra services. This happens if an employer asks for extraordinary advice or a new employer joins the fund. Employers who may need extraordinary services should let us know in advance.