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The Superannuation Arrangements of the University of London

 

 

The SAUL CARE Plan

The SAUL CARE Plan provides regular income when you finish working. When you retire, SAUL will give you a tax-free lump sum and a monthly pension. SAUL also provides benefits for your family and dependants after your death.

The SAUL CARE Plan is a defined benefit pension scheme. Your benefits are based on the Salary you earn during the period in which you contribute to the Scheme, increased by price inflation. so they won’t depend on market conditions.

 

  
 

 

Quick Links

Which plan am I eligible for?

SAUL Final Salary Plan

Benefit Calculators

CARE Benefits Guide

Glossary

Other Schemes

► Active Members
If you’re contributing to the SAUL CARE Plan

► Deferred Members
If you’re leaving or have left employment and still have benefits in the SAUL CARE Plan

► Pensioner Members
If you’re receiving a pension from the SAUL CARE Plan

► Prospective Members
If you’re considering whether to take advantage of SAUL membership

What is CARE?

CARE means Career Average Revalued Earnings. Members of the SAUL CARE Plan receive a pension of 1/80 of the CARE Salary paid in each year. The amount of pension built up each year is called a CARE Block. Each year's benefit is then increased to retirement in line with the price inflation.

How does CARE work?

The example below shows how CARE works for a member of SAUL over four years. It shows:

  • the benefit earned each year using the member's Salary and the Scheme's Accrual Rate;
  • how each year's benefit is increased to the end of the four-year period (assuming that price inflation is 3% a year); and
  • the total pension and lump sum earned at the end of the four-year period.

Year

Salary paid in the year

Salary paid/Accrual Rate

Benefit earned in year (CARE Block)

Increase (assuming price inflation of 3% each year)

CARE pension at the end of year 4

1

£20,000

20,000/80 =

£250.00

3 years at 3% =

£273.18

2

£21,000

21,000/80 =

£262.50

2 years at 3% = 

£278.49

3

£22,000

22,000/80 =

£275.00

1 year at 3% =

£283.25

4

£23,000

23,000/80 =

£287.50

0 years at 3% =

£287.50

Total annual pension at the end of year 4 =

£1,122.42

Total lump sum at the end of year 4 =

£3,367.26

 

 
   
 

 

       
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