I've just started studying for SA4 and am finding it a bit technical.
I'm not sure what to have expected but was under the impression that SA subjects should be more application and higher-level ideas.
I appreciate that the technical details would be necessary for a practicing (UK) actuary and would probably be all very familiar material for anyone with UK practical experience.
Anyone have any recommendations to get up to par on the UK practice? A crash course in UK pensions for non-UK students would be ideal.
I also have a question on the State Pension Credit (Chapter 2 page 9 of 2009 CMP).
Core reading says:
If a claimant's income is above the savings credit threshold, but less than their minimum income guarantee, the amount of the savings credit will be 60% of the difference between their qualifying income and the savings credit threshold.
If a claimant has total income greater than their minimum income guarantee, the amount of the savings credit will be reduced by 40% of the difference between their total income and their minimum income guarantee
I thought this was badly worded as it didn't specify how much the savings credit would start of at (before reduction) if your income was greater than the minimum income.
Based on the example, it is 60% of (savings credit threshold less minimum income guarantee)
Finally the question is : am I correct in thinking that the savings credit is always non-negative? That is, the 40% deduction applies only if you have any savings credit left and does not reduce your income from other sources.
Last edited by a moderator: Nov 17, 2008