USS - General discussion

gwt1965

swindiff said:

I have just checked the modeller, as I do every now and then.  My annual pension has increased from the age of 61 by about £700.  Any idea why this would be the case?  I probably last checked it a month or so ago.

I am wondering have they corrected it to use the current ERF, and will then re-adjust it again in October?

Mine’s gone up too but I don’t think it’s because of ERFs. I asked for a retirement quote for end of Jan 2025 (so with the new ERFs) which came back with a figure c£300 above what’s showing in the modeller now. So must be something else behind the scenes. As I understand it, the modeller applies the ERFs relevant at your retirement date pre or post Oct 1, 2024. 

swindiff

Well it's a nice surprise but I don't really understand why it's changed so much?

ussdave

I think USS just roll a die each month and then randomly increase or decrease the projections based on the outcome.

Universidad

Similar but different story here: I have noticed that the amount showing in the summary section of "My USS" has changed recently. I had not been expecting this because I no longer get an Annual Statement, and the summary figure hasn't changed for a couple of years (since I left the sector and my pension was deferred).

The amount I can expect has gone up by just under £200.

This is not enought to be the one time £215 uplift associated with pension restoration, and it's too little to account for inflationary rises since 2022.

However the automatic lump sum has gone up by a bit under £600, as well.

So now I'm wondering if it is the one time uplift but either some smaller element of the calculation has changed, or even if they've added it to my 2022 final statement amount minus inflation since 2022.

ussdave said:

I think USS just roll a die each month and then randomly increase or decrease the projections based on the outcome.

Or it could be that.

Southend_2

There were a few people on here a while back (myself included) who thought the amount shown on the website had increased by more than they were expecting when the annual inflation increase was applied this year.

FIREmenow

@swindiff is it because of the higher cap since April on the retirement income builder? That's up to £400 per year extra going in depending on salary, not sure how many years out from your retirement date you are though.

swindiff

I am 54 and a bit, so about 6.8 years to go until 61.  Salary just over £53k, so those figures aren't too far off the mark.  

(£53k-£41k)/75 * 6.8 = £1088
ERF for 5 years is 77.5 which would make it £843.  I think it has actually increased by about £750

If that is the case I don't know why they would have only just made that change recently though.

gwt1965

FIREmenow said:

@swindiff is it because of the higher cap since April on the retirement income builder? That's up to £400 per year extra going in depending on salary, not sure how many years out from your retirement date you are though.

I thought the modeller had already been updated to take account of the higher cap? And that explanation wouldn't explain why the modeller is showing the same £700 increase for me as for @swindiff but with a retirement date in my case of Jan 2025. 

swindiff

I thought that too. If that is the case for you with retirement next year I guess we can rule that theory out.

FIREmenow

Probably best to ask them then, especially if you have screenshots. They did fix an issue with the modeller that someone on here pointed out to them (twice, as the first fix didn't work!), think that's was @Simes122.

Edited to add: think in that case ERFs were kicking in at +1month after they should.