GPs locums: Know your benefits
GP locums are treated very differently in the NHS pension scheme to salaried GPs or GP partners. This applies to all three, (1995, 2008 and 2015), variants of the scheme. They need to be aware that their death and ill health retirement benefits are far worse as a result of being a locum rather than in a salaried or partnered role.
We knew of a GP who qualified in July but died in December, and because she died on a day when she wasn’t at work, her husband and young children got next to no death benefits, even had she died on a day she was working, she would have been treated as if she were in the scheme and that would have meant enhancements in the death benefits for her family. If you have a family and debts and liabilities, this is something to be aware of and we would advise you to plan in other ways, such as taking out life insurance and critical illness cover. A financial planner can help you with this.
Key takeaway: Check what death benefits you have in place and when they apply. Consider taking out insurance to fill any gaps and protect your family.
Salaried GPs: Fill in your paperwork
Salaried GPs must complete what is called a Type 2 certificate, which confirms their pension earnings. The individual submits this, rather than the practice or an accountant, so it can often be missed by busy GPs. To check information is up to date, complete an SM27A to request your membership record. This will show you the income figures that have been used to secure your pension growth.
There are ongoing problems with Primary Care Support England processing GPs’ information. If you are in the NHS pension scheme, it is imperative that you check the information being held about you is correct. We saw one case where someone’s records were missing six years of pension contributions and they had not kept old payslips from years ago. These records needed to be traced as this could have been very costly for the scheme member.
Key takeaway: Make sure your service record is up to date. Check any glitches with moving employees, for instance if you are medic who rotates and has trained at different trusts and practices, and ensure your employment record is accurate.
Action points:
Get specialist advice
Make sure you have an accountant and/or financial planner who are medical specialists to help you navigate the complexities of NHS pensions and your financial planning. We are increasingly seeing things being missed by accountants who are less familiar with the NHS system.
Check your records
Log into the My NHS Pension website to access your total reward and see where you stand. Complete one-page form SM27A to request your membership records. You’ll get a breakdown of your career history within the NHS - this is essential to be able to fix errors and ensure you get the correct benefits paid to you.
Submit the right forms
- GP partners need to fill in and submit a Type 1 Annual Certificate every year.
- Salaried GPs need to submit a Type 2 Annual Certificate.
If you don’t, none of your pension records will be updated. This is a common mistake, but it has major implications, your pension may not be paid as the data is not there to do the calculation.