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The Willis Pension Scheme
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Definitions
 

A number of terms used in this Booklet have specific meanings and these are set out below. For ease of reference the special terms have links in the text throughout the Booklet that provide an explanation.
 
Term Explanation
Basic Salary This is your basic annual salary received from the Employer, before any adjustment that you have agreed to as part of the Willis Salary Plus Scheme or the Childcare Voucher Scheme. The employer has determined that the basic salary to be used for the calculation of pension benefits is your basic salary prior to 1 July 2015 and future salary increases would not be pensionable. However this salary freeze does not apply to life assurance benefits.  Your current basic salary is therefore used to calculate the death-in-service lump sum but is subject to the Scheme Cap.
Final Pensionable Salary This is your average annual Pensionable Salary when your Pensionable Service ends. The average is taken over two years for a Post’95 Member and over one year for a Pre’95 Member.
Individual Salary Cap
This is the maximum that will apply to your Pensionable Salary and was introduced on 1 December 2013.
Your Individual Salary Cap was calculated as your Pensionable Salary at 1 December 2013. The Individual Salary Cap is increased on 1 April each year by price inflation. Special arrangements will apply if a period of Deflation occurs that will ensure the Individual Salary Cap will not fall.
Long-standing Member A member who joined the Scheme prior to 6 April 1988.
Normal Pension Date This is your 65th birthday or, if you attained grade 11 before 1 July 2001, your 60th birthday.
Pensionable Salary
This is your Basic Salary less a deduction for the single person’s basic State pension restricted to your Individual Salary Cap. The basic State pension from April 2018 is £6,549.40 per annum. It is expected to rise broadly in line with the Retail Prices Index. If you are employed part time the deduction is calculated on a pro rata basis. The pensionable salary used to determine your contributions to the Scheme will not exceed your Individual Salary Cap. Your Pensionable Salary will not reduce if the basic State pension increases but your Basic Salary does not.
Pensionable Service This is the period of your continuous service as a member of the Scheme up to the date of leaving, date of death or Normal Pension Date.
Pre’95 Member A member who joined the Scheme before 1 January 1995.
Post’95 Member A member who joined the Scheme on or after 1 January 1995.
Scheme Cap This is the limit on the earnings that are used to calculate the death in service lump sum benefit under the Scheme. It reflects the Earnings Cap which was introduced under the Finance Act 1989. It affects members who joined the Scheme on or after 1 June 1989 unless their contract of employment explicitly states otherwise. The Scheme Cap is £154,800 for the 2017/18 tax year.
Senior Member A member who attained grade 11 before 1 July 2001 or who attained grade 13 on or after 1 July 2001 and before 1 April 2008. No further Associates are being granted Senior Membership after 31 March 2008
Target Percentage This is the percentage of Final Pensionable Salary you would receive if you remain a member of the Scheme until your Normal Pension Date.
 
You may also wish to note that references to the Group mean Willis Group Limited and references to the Trustees mean Willis Pension Trustees Limited (or their successors).