Entering a defined benefit pension
The Defined Benefit Pension is entered in Archer:
In the Basic Details section on the left menu
Scroll down to find the Show Advanced Pension Options toggle
Once selected, a defined benefit option will appear. Enter all of the relevant information.
This pension account will now appear in the Detailed Tables for additional modelling
Before and After Tax Contr. Rate Fields
In picture 2.
Values entered into these fields are not counted towards the accumulation balance and do not impact the growth of the DB value (which remains based on the multiple accrual that you enter). These values are counted towards their respective caps, and they reduce the client’s gross income in line with those contributions coming from their own salary.
Amounts entered here will also impact the notional taxed contribution calculation, as a higher contribution from the member can result in a lower notional taxed contribution from the employer. You will find that these notional taxed contribution fields can be overridden in the detailed table for defined benefits if needed, to capture any differences between archer’s calculation and the information from the scheme. However, I suggest using the New Entrant Rate % field to tweak this if necessary to bring the notional contribution amount in line with expectations, as this has the benefit of calculating future years' expected NTCs for you.