What is a transition member?
A transition member is a person who has built up service in either the FPS 1992 or FPS 2006 legacy final salary scheme before moving into the FPS 2015. Transition members have certain protections on the final salary benefits they have already built up.
Normal retirement age
The retirement age of the former final salary pension is protected. This means that when a transition member reaches normal retirement age for the final salary scheme they can retire and take their final salary benefits.
Final salary link
- The pensionable pay used to calculate the final salary pension at retirement is guaranteed to be the highest pay since moving to the FPS 2015.
- If the pay at the point of moving to the FPS 2015 is higher than at retirement that pay can be used to calculate final salary benefits.
Service
- FPS 2006 - the service built up at the point of moving to FPS 2015 is used to calculate the pension.
- FPS 1992 - the double accrual guarantee formula recognises the expectation to double accrual under FPS 1992 and proportions the expected benefits.
Commutation factors
Any FPS 1992 pension that a transition member chooses to exchange for a lump sum will still be worked out using factors provided by the Scheme Actuary, instead of using the standard rate of £12 pounds of lump sum in exchange for each £1 of pension given up. See how much lump sum can I take? for more information.