What are the charges?

What does it cost?

When you have a pension there are charges for investing in funds. These charges cover the cost of managing your investments.

The amount you will be charged depends on the investments you choose. The charges for each investment option are explained in the How to choose the right investment options for your pension guide (PDF, 837Kb).

Charges are regularly reviewed and may be increased to reflect increases in overall costs and/or changes in the assumptions made. Any increases will be fair and reasonable.


BT has negotiated a discount, which means that Standard Life rebates part of the fund management charge by adding extra units to your fund each month. The rebate varies depending on which funds you’re invested in.

If you leave BT employment, your pension plan will no longer be under the BTRSS - it will be a standalone plan. However, you will continue to benefit from the scheme rebate. Please see the How to choose the right investment options for your pension guide (PDF, 837Kb) for more information on rebates.

  • If you leave BT employment on or after 1 December 2013, the rebate on all the funds you are invested in will remain the same.
  • If you left BT employment before 1 December 2013, 12 months after your leaving date the rebate on all the funds you are invested in reduces by 0.30%. This means the effective total annual fund charge increases by 0.30%*.

* This increase in the effective total annual fund charge does not apply to leavers who were previously members of the Syntegra Limited Flexible Pension Plan (SLFPP).

Types of charges

Fund management charge

The fund management charge (FMC) is a charge for managing your pension and investments. The charge is built into the unit price of each fund your pension invests in and is deducted daily. Please see How to choose the right investment options for your pension (PDF, 837Kb) for more details about the FMC on the available funds.

Even if you stop making payments into your fund, you'll still be charged the FMC because the money you've invested will still be under management.

Additional expenses

Additional expenses may be deducted from some funds. They include items such as trustees’, registrars’, auditors’ and regulators’ fees. And, where a fund invests in other underlying funds, they may include their underlying management charges.

The additional expenses relate to expenses incurred during the fund management process, so they will regularly increase and decrease as a percentage of the fund, sometimes significantly. Where expenses arise within a fund they have been taken into account in the calculation of the price.

Additional expense figures may be rounded to two decimal places. An additional expense charge may apply but if it's rounded to two decimal places it may show as 0.00%.

Additional expenses are not guaranteed. They are regularly reviewed and may be changed in the future.

Fund switching

There may also be charges for switching funds.

Cost of advice

If you decide to get your own financial advice from an independent financial adviser, then there may be a charge for this. You'll be able to find out more about this from your financial adviser.

More about getting financial advice

Important documents

To help you make an informed decision we've provided you with important information that you should read. You should print or save copies of these documents for future reference.

This is where you will find specific details about BT’s company pension.

Plan summary document for BT employees (PDF, 81KB)

This document explains the features of the pension product your employer has chosen.

Key features document (PDF, 288KB)

This document provides you with more information on how you can take money from your pension flexibly. For more information on the other options available please see the key features document above.

How Drawdown Works (PDF, 211KB)

Read this guide for more information on choosing your investment options if you decide to take money from your pension flexibly.

Choosing investment options for a flexible income (PDF, 119KB)

This document gives you an illustration of what your pension could be worth for BT employees. It may not take into account rebates that may apply to your policy. You can find more information about the charges and rebates on the charges page.

Key features illustration for BT employees (PDF, 114KB)

Read this guide for more information on your investment options, including details about charges and fund codes.

How to choose the right investment options for your pension (PDF, 837KB)

Use this form to instruct Standard Life on payment of death benefits from the BTRSS.

Instruction for payment of death benefits (PDF, 77KB)

Read this guide, provided by BT, for more information about how SMART Pensions work. Standard Life is not responsible for the content of this guide.

SMART Pensions (PDF, 332KB)