Actives Basis: Main
Active Members Data File
Double click to select the member data file containing the member data
for the particular class of membership i.e. active, deferred or pensioner.
The data file will have been created via Data>Data Build and will
have a .DAT extension. The data file will be found in the Input Folder.
Data Format
Double click to select the Format File for the current Data File. The Format File contains the saved parameters specifying the column specification of each of the data items contained in the data file. Data format descriptions are prefixed by an indication of the type of format e.g. <Act> for Actives, <Def> for Deferreds, <Pen> for Pensioners.
If you intend to use the GMP Calculators to calculate GMPs after creating your data, ensure that columns are created in your data file for these fields. (In addition, enter dummy data into the data file for the first member that is at least as large as the largest expected GMP for all members. This will ensure that the Format created leaves sufficient space for the GMPs calculated.)
Data>Build
If you have created data using Data>Build then the format name will be the same as the original source (CSV) file.
BasisModule>Migrate
If you have migrated your data files from earlier versions the name will be unchanged.
Use Category Selection
Click to highlight the category data you wish to use in this Basis Category. In V9.00+ the category data can contain up to a maximum of 10 characters.
This will be useful if setting up benefit changes in addition to the current scheme categories. For example, the user may want to run the Category 1 data through two similar benefit categories, one with NRA 65 and one with NRA 67. The user should create a second category but select the data for Category 1 here. The user can then make the required changes to the rest of the benefit category.
An alternative to using the same Category Data in multiple categories would be to create a new Basis File for the changed benefits. Most users will find it easier to identify the purpose of the runs as the filename can reflect the basis setup i.e. Benefit Improvements or Sale and Purchase.
Guarantee Period
Enter the period for which the member’s pension is guaranteed to be paid
irrespective of whether the member survives this period. For a 5 years
post retirement guarantee enter 5. If no guarantee is payable enter 0.
For Pensioners the remaining years guarantee period will be calculated
using the member’s standard data item DPC - Date Pension Commenced.
Overlap during Guarantee Period
If the member’s pension is guaranteed, then the option to select how the guarantee is paid becomes available.
Check this box if, on the member’s death during the guarantee period, all outstanding payments in the guarantee period are paid as a lump sum at death and any spouse’s reversion becomes payable immediately. When valuing Actives or Deferreds or using the annuity calculators, the option to select whether this benefit is discounted or undiscounted becomes available. For Pensioners, the lump sum is calculated as the sum of the undiscounted payments at the point of death when this option is selected.
Leave this box unchecked if, on the member’s death during the guarantee period, payments continue until the end of the guarantee period and any spouse’s reversion becomes payable thereafter. Payments are always discounted in this scenario.
Discounted LS on Death in Guarantee Period
The field is used to specify whether the Lump Sum paid as a result of a guarantee after death is discounted or undiscounted for Actives, Deferreds and the Annuity Calculator.
Check this box to discount, with interest, the lump sum payable. Leave this box unchecked if the lump sum payable is undiscounted.
Payment Frequency
Select from the drop-down list the frequency of the pension payments. The options are:
- Annual
- Semi-Annual
- Quarterly
- Monthly
- Lunar-Monthly
- Fortnightly
- Weekly
- Continuous
Mode
Select from the drop-down list the timing of pension payments. The options are:
- In Arrears
- In Advance
First Year Increase
The proportion of pension increase applied in the first year is dependent on up to 4 factors, namely:
- When the benefit commences
- The period between valuation and the pension increase date
- The frequency and mode of pension payments
- The pension increase timing.
Select from the drop-down list how the increase in the first year should be determined. The options are:
- Default
- None
- Proportional
- Full
If "Default" is selected SuperVal assumes that, on average, people retire halfway through the year. If the Payment Frequency is monthly, the first pension increase will be awarded halfway through the month in which pension increases become payable (or the review date if specified). If the Payment Frequency is annual, first year increases are only granted if the review date falls in the first six months after the valuation date. The increase granted will reflect the period from the review date to the mid-year. First year increases are not granted if the review date falls in the second part of the first year. Subsequent increases are valued in full on the anniversary of the commencement of benefit. (This was the only method available prior to V8.50.)
If "None" is selected, no pension increase is valued at the first review date or opportunity to pay pension increases following benefit commencement.
If "Proportional" is selected, then a proportional pension increase is valued at the first review date or opportunity to pay pension increases following benefit commencement.
If "Full" is selected, then a full pension increase is valued at the first review date or opportunity to pay pension increases following benefit commencement.
Examples
Examples illustrating how SuperVal applies pension increases under the various methods are shown below:
Consider a £2000 annual pension payable monthly in advance from 1 January 2025. The pension increase applied is 5% p.a.
| Increase Date | Default | None | Proportional | Full |
|---|---|---|---|---|
| 1 January | ||||
| - First Year | £2000 (The first increase will be given at 1 January 2026.) |
£2000 | £2000 (The first increase will be given at 1 January 2026.) |
£2000 (The first increase will be given at 1 January 2026.) |
| - Second Year | = £2000 × 1.05 = £2100 |
£2000 (The first opportunity to pay an increase is 1 January 2026 but this is not granted hence no increase in benefit) |
= £2000 × 1.05 = £2100 |
= £2000 × 1.05 = £2100 |
| 1 April | ||||
| - First Year | =[3½/12 ×£2000]+[8½/12 ×£2000×1.05] = £2071 |
= £2000 | =[3/12 ×£2000] + [9/12 ×£2000×1.05¼ ] = £2018 |
=[3/12 ×£2000] + [9/12 ×£2000×1.05] = £2075 |
| - Second Year | = £2071 × 1.05 = £2175 |
=[3/12 ×£2000]+[9/12 ×£2000×1.05] = £2075 |
=[3/12 ×£2000×1.05¼ ]+[9/12 ×£2000×1.051¼ ] = £2100 |
=[3/12 ×£2000×1.05]+[9/12 ×£2000×1.05²] = £2179 |
| 1 October | ||||
| - First Year | = [9½/12 ×£2000]+ [2½/12 ×£2000×1.05] = £2021 |
£2000 | =[9/12 ×£2000]+[3/12 ×£2000×1.05¾ ] = £2019 |
=[9/12 ×£2000]+[3/12 ×£2000×1.05] = £2025 |
| - Second Year | = £2021 × 1.05 = £2122 |
=[9/12 ×£2000]+[3/12 ×£2000×1.05] = £2025 |
=[9/12 ×£2000×1.05¾ ]+[3/12 ×£2000×1.051¾ ] = £2100 |
= [9/12 ×£2000×1.05] + [3/12 × £2000 × 1.05²] = £2126 |
| Continuous Increases | ||||
| - First Year | = [6½/12 ×£2000]+[5½/12 ×£2000×1.05] = £2046 |
£2000 | = [6/12 ×£2000]+[6/12 ×£2000×1.05½ ] = £2025 |
= [6/12 ×£2000]+[6/12 ×£2000×1.05] = £2050 |
| - Second Year | = £2046×1.05 = £2148 |
=[6/12 ×£2000]+[6/12 ×£2000×1.05] = £2050 |
=[6/12 ×£2000×1.05½ ]+[6/12 ×£2000×1.051½ ] = £2100 |
= [6/12 ×£2000×1.05]+[6/12 ×£2000×1.05²] = £2153 |
Assuming the same pension is paid annually in advance, the DEFAULT option does not grant increases for review dates that fall after 01/07 and calculates the pension as follows:
| Default | |
| 1 January Increase | |
| - First Year | £2000 (The first increase will be given at 1 January 2026) |
| - Second Year | £2000 × 1.05 = £2100 |
| 1 April Increase | |
| - First Year | £2000 × 1.05¼ = £2025 |
| - Second Year | £2025 × 1.05 = £2127 |
| 1 October Increase | |
| - First Year | £2000 (no increases granted as review date falls after 01/07) |
| - Second Year | £2000 × 1.05 = £2100 |
| Continuous Increases | |
| - First Year | £2000 |
| - Second Year | £2000 × 1.05 = £2100 |
This field is only available to some users.
Pension Benefits Capitalised or Spread
This and the other Cash Flow Parameters only affect the Cash Flow
Summary page in the Excel Output/Consolidation Output. They do not have
any effect on the Valuation Results.
Select from the drop-down list the option to use. The options are:
- Capitalise
- Spread
If Capitalise is selected the output will show the cashflows assuming
the benefits are capitalised at the point of first payment.
If Spread is selected the output will show the cashflows as they
become due.
However, the Death in Deferment Liability shown will always be the capitalised value of the payments. The user can choose the point at which the Death in Deferment Liability is shown in the Cash Flows summary in the Death in Deferment Method field.
In addition, if Spread is chosen for Actives or Deferreds, the user
will be required to specify at which point the Underpin Liability is
capitalised in the Underpin Method.
When running a DAB method valuation, this field must be set to Capitalise.
Death in Deferment Method
This and the other Cash Flow Parameters only affect the Cash Flow
Summary page in the Excel Output/Consolidation Output. This field is
only used to position the death in deferment results in the Cash Flow
Summary page. It does not have any effect on the Valuation Results.
Select from the drop-down list how to capitalise the Death in Deferment benefits. The options are:
- Tables
- Default
If Tables is selected then you need to select the tables applicable
for the death in deferment Pension and Lump Sum in the following fields.
The tables should contain the age at which the death in deferment
liability is capitalised for age (nearest) at date of withdrawal.
If Default is selected then the death in deferment liability will be
capitalised at the assumed point of leaving service.
Pension Age
This field is only used to position the results in the Cash Flow
Summary page in the Excel/Consolidation Output. It does not have any
effect on the Valuation Results.
If you have selected Tables for the Death in Deferment
Method then double click to select the
rate table containing the age at which you want the Death in Deferment
Pension Liability to be capitalised in the Cash Flow Summary. The table
will be indexed by age nearest at start of the year of death.
For example, a Table assuming the liability will be capitalised 2/3rds of the way to retirement at age 65 would have entries as follows between 35 and 45:
| Age at Start of the Year of Leaving | Age DID Pension Capitalised Value Shown |
|---|---|
| 35 | 55 |
| 36 | 55 |
| 37 | 56 |
| 38 | 56 |
| 39 | 56 |
| 40 | 57 |
| 41 | 57 |
| 42 | 57 |
| 43 | 58 |
| 44 | 58 |
| 45 | 58 |
The figure appearing in the Cash Flow Summary Listing will be the
capitalised Death in Deferment Pension liability rolled forward with
interest. The roll forward is taken from the assumed exit (half way
through the year) to the start of the year that the member will be the
age (nearest) to the corresponding entry in the table i.e. a roll forward
with interest for the term Age DID Pension Capitalised Value Shown
less Age at Start of Year of Leaving less 0.5.
Related
Decr Help
Rate tables can be selected by any of the following methods:
- Right-click on the field for a list of appropriate Rate Tables. For a field that will accept more than one type of Rate Table (e.g. Miscellaneous Tables), the list will be restricted to the current Table Type specified in the field – if you wish to see all allowable Rate Tables, delete the Table Type from the field before clicking; or
- Double Clicking on the field will produce the Rate Tables form where Rate Tables can be viewed (numerically and graphically) and Rate Tables can be added or edited. A Rate Table can be selected by pressing the Select button or double clicking on the Rate Table description in the tree; or
- the list of allowable Rate Tables can be scrolled through by
pressing the
<or>keys. The description of the Rate Table to the right of the field will change as each new Table is selected.
Lump Sum Age
This field is only used to position the results in the Cash Flow
Summary page in the Excel/Consolidation Output. It does not have any
effect on the Valuation Results.
If you have selected Tables for the Death in Deferment
Method then double click to select the
rate table containing the age at which you want the Death in Deferment
Lump Sum Liability to be capitalised in the Cash Flow Summary. The table
will be indexed by age nearest at start of the year of death.
For example, a Table assuming the 2/3rds rule with NRA 65 would have
entries as follows:
| Age at Start of the Year of Leaving | Age DID Lump Sum Capitalised Value Shown |
|---|---|
| 35 | 55 |
| 36 | 55 |
| 37 | 56 |
| 38 | 56 |
| 39 | 56 |
| 40 | 57 |
| 41 | 57 |
| 42 | 57 |
| 43 | 58 |
| 44 | 58 |
| 45 | 58 |
| … | … |
The figure appearing in the Cash Flow Summary Listing will be the
capitalised Death in Deferment Lump Sum liability rolled forward with
interest. The roll forward is taken from the assumed exit (half way
through the year) to the start of the year that the member will be the
age (nearest) to the corresponding entry in the table i.e. a roll forward
with interest for the term Age DID Lump Sum Capitalised Value Shown
less Age at Start of Year of Leaving less 0.5.
Related
Underpin Method
This and the other Cash Flow Parameters only affect the Cash Flow
Summary page in the Excel/Consolidation Output. They do not have any
effect on the Valuation Results.
Where Spread has been chosen for the field Pension Benefits
Capitalised or Spread the Underpin (excess) liability
will be shown as capitalised in the Cash Flow. However you can choose
where this capitalised point will be. The options are:
- Tables
- Default
If Tables is selected then enter the rate tables applicable on the
events where the Underpin is taking place. These are:
- Retirement - actives and deferreds
- Leaving Age - actives
- Death in Deferment - deferreds
If Default is selected then the Underpin (excess) liability will be
capitalised at the payment start point.
Retirement Age
This and the following fields affect the Cash Flow Summary page in the
Excel/Consolidation Output only. They do not have any effect on the
Valuation Results.
If you have selected Tables for the field Pension Benefits
Capitalised or Spread then select a rate table
containing the age at which you want the Underpin (excess) liability on
Retirement to appear in the Cash Flow. The table will be indexed by age
nearest at start of the year of retirement.
Typically tables entered here would be of EX type.
Example Table would have entries as follows:
| Age at Retirement | Age Underpin shown |
|---|---|
| 60 | 77 |
| 61 | 77 |
| 62 | 77 |
| 63 | 78 |
| 64 | 78 |
| 65 | 78 |
Related
Leaving Age
This and the fields Retirement Age only affect the Cash Flow Summary
page in the Excel/Consolidation Output. They do not affect the Valuation
Results.
If you have selected Tables for the field Underpin Method then
double click to select a rate table containing the age at which you want
the Underpin (excess) liability on Withdrawal to appear in the Cash
Flow. The table will be indexed by age nearest at start of the year of
leaving service. Typically tables entered here would be of EX type.
Example: Table would have entries as follows:
| Age at Leaving | Age Underpin shown |
|---|---|
| 40 | 70 |
| 41 | 70 |
| 42 | 71 |
| 43 | 71 |
| 44 | 71 |
| 45 | 72 |
Related
Alternate Slices Method
This field determines whether and how the Alternate Slices apply. Select from the drop-down list one of the following options:
- Ignore
- Maximum
- Minimum
- Scale down
If Ignore is selected then the Alternate Slices are ignored and only
the (normal) Benefit Slices will be valued.
If Maximum is selected then the benefits arising at exit from Benefit
Slices and Alternate Slices are compared and the greater is valued.
If Minimum is selected then the benefit arising at exit from Benefit
Slices and Alternate Slices are compared and the lower is valued.
If Scale Down is selected then the benefits arising at exit from
Benefit Slices and Alternate Slices are compared. If the benefits on the
Alternate Slices are smaller than the benefits from the Benefit Slices
then the benefit on the Normal Slices is scaled down in proportion.
Not all options are available to all users.
PHI Benefit payable on Ill-Health
Check the box to value PHI benefits.
Independent Slices
Check this box to enable the use of the Ind Slices Tab where details of the Independent Slices can be entered.
SaveAs
Click the Save As button to save with a new file name.
Save
Clicking on the Save button allows you to save the entries.
Quit
Clicking on the Quit button allows you to exit without saving any of your changes.
In some of the screens you will be asked to confirm if you want to exit Ignoring all changes. If you click Yes, the file will be closed without saving any changes. If you click No you will be returned to your original screen.
From the Browser, the Quit button will take you to a graphical display of the results.