Edit Salary
Salary Description
Describe the salary being defined eg Basic Salary – 1yr ave.
This name will be used throughout the basis file when selecting which salary to use.
Data Item for Salary
Select from the drop-down list the data item containing the salary to be used within this salary definition.
This would typically be the data item containing the (pensionable) salary as at the valuation date. It could be either of the standard data item Current Salary or Previous Salary or one of the numeric non-standard data items.
If the actual Final Pensionable Salary data item (including averaging) at the valuation date is available then this should be entered into the Initial Final Average Salary field.
Salary Inflation Rate: Override
The user has the option to enter an override for the salary increase rate for the current Salary definition.
Select from the drop-down list the Global Financial Parameter that contains the rate applicable. Once selected, the current value of the Global Financial Parameter is shown to the right of this field.
To add a new Global Financial Parameter use the Edit Scheme Financials button at the bottom of this tab.
If left blank the Overall Salary Increase Rate on the Financial tab will be used.
Post NRA Salary Revaluation Rate
The user has the option to override the salary increase assumption for members who retire after NRD. This field is only used if NRA Salary is selected in the Salary for Late Retirement on the Late Retirement tab and only applies to the salary definition selected.
Select from the drop-down list the Global Financial Parameter that contains the rate applicable. Once selected, the current value of the Global Financial Parameter is shown to the right of this field.
To add a new Global Financial Parameter use the Edit Scheme Financials button at the bottom of this tab.
If left blank the Overall Salary Increase Rate on the Financial tab will be used.
Note: Not all functionality is available to all users.
Salary/Deduction/Salary Maximum Adjustment Factor
This field is a loading adjustment for the salary.
This option could be used where the member data was out of date and
needs to be increased to take account of an extra half year of salary
inflation. The multiplier could be set to 1.04 if salary increases were
at 8% p.a.
Promotional Salary Scale Table
- Male Promotional Salary Scale
- Female Promotional Salary Scale
Promotional salary scales are salary increases that are provided in addition to the general salary increases previously specified.
Double click to select from either an age related promotional salary
scale (S Type) or a service related promotional salary scale (ST
Type). For both types, the table will contain the year on year rates
(and not cumulative rates).
When using a service related promotional scale the user will be required to input the date from which service will be calculated in the Date for Durational Decrements field on the Demographic Tab.
General salary increases are normally specified in the Salary Increase field on the Financial Tab. Alternatively, for a particular salary definition this can be overridden by the Salary Increase Override on the Salaries Tab.
Some options are only available to some users.
Related
Selecting rate tables
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.
Salary Increase Review Date
If Salary Increase Timing was either Review Date or Weighted then
enter the date salaries increase in the form DD/MM.
Timing of Salary Increases
Select from the drop-down list the timing of salary increases. The options are:
- Review Date
- Continuous
- Weighted
If Review Date is selected, salaries will be updated on the date
entered in Review Date.
If Continuous is selected, salaries will be increased continuously.
If Weighted is selected, salaries will be updated on the date entered
in Review Date but weighted when calculating Final Average Salary.
The projection of Salary is the same for both Review Date and Weighted.
The difference relates to the calculation of Final Average Salary. Under Review Date, Final Average Salary is the average salary as at the last N review dates. Under Weighted, Final Average Salary is the average salary over the last N years. Hence, Review Date can be used to model Final Average Salaries that only increase once a year on the Review Date whereas Weighted is used to model Final Average Salaries that increase continuously during the year.
For more information on how these different salaries are calculated please see the Infocus Document relating to Salary Projections in SuperVal.
Salary Averaging Period
Enter the number of years over which salaries are averaged either on leaving or at retirement.
Averaging Ceases
Select from the drop-down list when the salary averaging should be applied. The options are:
- On Leaving Service
- At NRD
Under On Leaving Service the salary averaging will be applied on all
decrements.
Under At NRD the salary averaging will only be applied on exit at
Normal Retirement Date.
Initial Final Average Salary
Select from the drop-down list the data item containing the initial Final Average Salary.
This will be used as Final Average Salary as at the valuation date and blended with projected final average salary calculated using Current Salary and Salary Inflation to produce Final Average Salary during the specified averaging period.
If left blank, Final Average Salary as at the valuation date will be calculated using Current Salary deflated using the Salary Inflation rate specified.
More information on the application of this field can be found in the Infocus Document relating to Salary Projections.
Include Last Salary in Average
Check this box if the last salary should be included in the final average salary calculation. Leave unchecked to exclude the last salary in the final average salary calculations.
If checked, SuperVal will average the salary over the averaging period specified. If unchecked, SuperVal will add 2 years to the averaging period specified.
Salary Deduction (Amount)
Enter the amount of salary deduction you wish to apply. This can either be a fixed amount for all members or a member specific amount.
To use a fixed value across all members, enter the value here. To use a member specific value, select from the drop-down list the appropriate data item.
For example, if the pensionable salary definition is reduced by the Lower Earnings Limit, enter the Lower Earnings Limit as at the valuation date in this field.
If both a maximum and a deduction are used, then the maximum is applied before the deduction i.e. entering a maximum of Upper Earnings Limit and deduction of a Lower Earnings Limit would give Band Earnings.
Deduction Loading Adjustment
This field allows the user to adjust the deduction by a fixed factor. It
might be used where the data used for the deduction is out of date and
needs to be increased to take account of an extra part year of
inflation.
Enter the number as a multiplier, e.g. 1.1 for a 10% increase or 0.9 for
a 10% decrease. For no adjustment enter a value of 1.
This field can also be used to add the deduction amount on to the
salary. To do this ensure the value entered is negative i.e. -1 to add the
deduction, without adjustment, onto the salary.
Deduction Increase Rate
This the rate at which the deduction will be increased.
Select from the drop-down list the Global Financial Parameter that contains the rate applicable. Once selected, the current value of the Global Financial Parameter is shown to the right of this field.
To add a new Global Financial Parameter use the Edit Scheme Financials button at the bottom of this tab.
If the Deduction is non-increasing select a Global Financial Parameter set to 0.
If this field is left blank, SuperVal will use the Salary Overall Parameters Increase Rate specified on the Financial tab.
Salary Maximum (Amount)
Enter the amount of salary maximum you wish to apply. This can either be a fixed amount for all members or a member specific amount.
To use a fixed value across all members, enter the value here. To use a member specific value, select from the drop-down list the appropriate data item.
For example, if the pensionable salary definition is restricted by the Earnings Cap, then enter the Earnings Cap as at the valuation date in this field.
If both a maximum and a deduction are used, then the maximum is applied before the deduction i.e. entering a maximum of Upper Earnings Limit and deduction of a Lower Earnings Limit would give Band Earnings.
Maximum Adjustment Factor
This field allows the user to adjust the maximum by a fixed factor. It might be used where the data used for the maximum is out of date and needs to be increased to take account of an extra part year of inflation.
Enter the number as a multiplier, e.g. 1.1 for a 10% increase or 0.9 for
a 10% decrease. For no adjustment enter a value of 1.
Maximum Increase Rate
This the rate at which the maximum will be increased.
Select from the drop-down list the Global Financial Parameter that contains the rate applicable. Once selected, the current value of the Global Financial Parameter is shown to the right of this field.
To add a new Global Financial Parameter use the Edit Scheme Financials button at the bottom of this tab.
If the maximum is non-increasing select a Global Financial Parameter set to 0.
If this field is left blank, SuperVal will use the Salary Overall Parameters Increase Rate specified on the Financial tab.
Next Salary
Move on to the next Salary. Select OK button to save any changes to the current Salary.
Previous Salary
Move back to the previous Salary. Select OK button to save any changes to the current Salary.
Edit Scheme Financials
Clicking the Edit Scheme Financials button takes you to the Scheme Financials menu.
Here you will be able to see a list of all the Financials that are currently defined. Double-click on the tree to see an expanded list of all financial assumptions that are defined.
Click the Add/Edit Financials to change the value of one of the assumptions.
OK
When you have finished entering the relevant information, click the OK button to move to the next screen.
SuperVal will check that all of the required entries on the page have been made. If additional fields require data SuperVal will briefly show in red the label of the first of these fields found on the page.
Cancel
Clicking on the Cancel button allows you to return to the previous screen without saving any of your changes.