On 6 April 2006 the legislation on pensions changed. As part of these changes the maximum amount of tax free cash that can be taken at retirement has generally been restricted to 25% of the fund value.
If, before this date, scheme members were entitled to more than 25% of the fund value as a tax free cash lump sum, they will be able to keep this right, provided that they give us the information requested in the tax free cash entitlement form (pdf 97 Kbytes)
For your guidance examples of completed forms are listed below:
- Example 1 - one other pension plan with the current employer and two from another employer
- Example 2 - one other pension plan with the current employer
- Example 3 - no other pension plans
These examples are not a definitive interpretation as to how you should complete your own form.
Frequently asked questions
It's important to supply this information to us now. If it is left until retirement, it may be impossible to find the information needed.
If we don't receive the information, the maximum amount of tax free cash that can be taken will be 25% of the fund value.