Students Staff
University of Essex

March 1, 2019

USS/SAUL Pension options for Grades 1 – 6

Filed under: Advice & Support — Tags: , — Mohammed Alam @ 12:58 pm

Pension options for Grades 1 – 6, who joined the University between 1 Feb 2004 and 1 June 2014

Previously our USS deed precluded the University from offering another pension scheme to members who had a contractual right to join USS.  Following on from feedback from members and their concerns over the increasing costs of USS we have worked with USS to challenge this and have now had the exclusivity right waived for this group of staff only. 

What does this mean?

If you were employed between 1 February 2004 and 1 June 2014 and are currently employed on a Grade 1 – 6 contract you now have the choice to cease your USS membership and join the SAUL pension scheme.

What is the difference between the schemes?

The table below outlines some top-level differences between the USS and SAUL schemes.

Feature SAUL USS
Pension accrual rate 1/75th of your annual salary 1/75th of your annual salary
Contribution Rate 6% of your salary 8% of your salary
Lump sum 3 x annual pension 3x annual pension
Death in Service (active scheme member A lump sum of four times your annual salary, a spouses pension and children’s allowances A lump sum equal to three times your annual salary, a spouses pension and children allowances
Is Overtime pensionable Yes No

This is a high-level summary, further details about the scheme benefits are available from the websites below. Please note that from the 1 April 2019, the USS contribution rate will be increasing from 8% to 8.8% of salary, and there are further increases proposed in October 2019 and April 2020.

 

What happens now?

To support members in understanding their options we will be contacting eligible members directly, putting on workshops to help explain the differences as well as providing a take home pay calculator so that you can work out the difference to your take-home pay.

If you require further information please contact pension@essex.ac.uk  who will be able to help. We must, however, reiterate that this is an individual personal choice and that we cannot advise you.