PSI.Part6 - Total Benefits on Retirement at Normal Retirement Date
(This archived guidance relates to HMRC discretionary
practice before the 6th April 2006. For current guidance on
Registered Pension Schemes see the Registered Pension Schemes
Manual)
Contents
Section 1 – General
Section 2 - Life Cover After Retirement
Section 3 - Normal Retirement Age
Section 4 - Pensionable Remuneration and Final
Remuneration
Section 5 - Maximum Total Benefits
Section 1 – General
| PSI6.1.1-2 | General |
| PSI6.1.3 | Other schemes of the employer |
| PSI6.1.4 | - aggregation for limits purposes |
| PSI6.1.9-11 | State pensions |
| PSI6.1.14 | Payment of pensions date of commencement |
| PSI6.1.15 | - pensions payable for life |
| PSI6.1.16 | - variable benefits |
| PSI6.1.17 | - reducing pensions |
| PSI6.1.18 | - terminating pensions |
| PSI6.1.22 | Pensions must not be surrendered, commuted or assigned |
| PSI6.1.23 | Pensions must not be surrendered, commuted or assigned |
| PSI6.1.24 | Forfeiture of benefits |
| PSI6.1.25 | - employer’s lien |
| PSI6.1.27 | Sex discrimination |
| PSI6.1.28 | - the barber case |
| PSI6.1.29 | Pension sharing on divorce |
Section 2 - Life Cover After
Retirement
| PSI6.2.1. | General |
| PSI6.2.2 | - availability |
| PSI6.2.3 | - exceptions |
| PSI6.2.4 | Revenue concern |
| PSI6.2.5-6 | Life cover after retirement at nrd value of benefit for revenue limits purposes |
| PSI6.2.7 | - amount of cover |
| PSI6.2.10 | Pension business considerations |
| PSI6.2.11-12 | Inheritance tax considerations |
| PSI6.2.13 | Life cover in service after nrd |
| PSI6.2.14 | Self-administered schemes |
Section 3 - Normal Retirement
Age
| PSI6.3.1 | General |
| PSI6.3.2 | Normal retirement age and normal pension age distinguished |
| PSI6.3.3 | Establishing a normal retirement date |
| PSI6.3.4-5 | Directors/controlling directors |
| PSI6.3.6 | Scheme rules |
| PSI6.3.7 | Supplementary schemes |
| PSI6.3.12 | Re-prescription of nrd |
| PSI6.3.13-15 | Lowering of nrd |
| PSI6.3.26 | Variable nrds - other methods |
| PSI6.3.30-31 | Low nrds |
| PSI6.3.32-33 | - directors/controlling directors |
| PSI6.3.38 | High nrds |
Section 4 - Pensionable
Remuneration and Final Remuneration
| PSI6.4.1.-2 | General |
| PSI6.4.3-6 | Statutory definition |
| PSI6.4.7-8 | Permitted maximum |
| PSI6.4.9 | - relevant associated employments |
| PSI6.4.10-11 | - connected schemes |
| PSI6.4.13 | Scheme rules |
| PSI6.4.15 | Acceptable definitions |
| PSI6.4.16 | Controlling directors |
| PSI6.4.17 | - scheme rules |
| PSI6.4.18 | - individual arrangements |
| PSI6.4.19 | - ceasing to be a controlling director |
| PSI6.4.20-21 | High earners |
| PSI6.4.22-23 | Fluctuating emoluments general |
| PSI6.4.24 | Large salary increases shortly before retirement |
| PSI6.4.25-26 | Directors’ fees general |
| PSI6.4.28 | - canalisation of directors’ fees |
| PSI6.4.33-34 | Adding for cost of living “dynamisation” |
| PSI6.4.35 | - acceptable indices |
| PSI6.4.36 | - scheme rules |
| PSI6.4.37-38 | - restriction on use of dynamised final remuneration |
| PSI6.4.39 | : money purchase schemes |
| PSI6.4.42 | Earnings which peak in mid-career |
| PSI6.4.43 | Incapacity |
| PSI6.4.44 | Use of notional pay for final remuneration |
| PSI6.4.45 | Profit related pay (prp) schemes |
| PSI6.4.46 | Final remuneration not determined for tax purposes |
| PSI6.4.47 | Salary sacrifices |
Section 5 - Maximum Total
Benefits
| PSI6.5.1-2 | General |
| PSI6.5.3 | Public sector type schemes |
| PSI6.5.4-5 | Final salary/defined benefit schemes |
| PSI6.5.6 | - uplifted 60ths |
| PSI6.5.7 | - augmentation |
| PSI6.5.8-9 | - n/30ths accrual f(no 2)a 1987 |
| PSI6.5.10 | Finance act 1989 members |
| PSI6.5.11-12 | - high accrual rates |
| PSI6.5.13-20 | Members subject to pre-finance act 1989 basis for early/late retirement |
| PSI6.5.21 | Subject to the post-finance act 1989 basis |
| PSI6.5.27-28 | Money purchase schemes |
| PSI6.5.32 | Scheme rules |
| PSI6.5.35 | Specimen limits rule |
| PSI6.5.37 | - career average schemes |
| PSI6.5.51-52 | Retained benefits disregard |
| PSI6.5.53-55 | Avcs paid subsequent to joining scheme |
| PSI6.5.56 | - valuation |
| PSI6.5.57-58 | Retained benefits paid or already in payment |
| PSI6.5.59-60 | Benefits under with-profits or investment-linked policies |
| PSI6.5.61 | Recalculation |
| PSI6.5.62 | - escalating pensions : fixed rate increases |
| PSI6.5.63 | : cost of living increases |
| PSI6.5.64 | (This text has been withheld because of exemptions in the Freedom of Information Act 2000) |
| PSI6.5.65 | - armed forces benefits |
| PSI6.5.66 | - retirement annuities or personal pensions |
| PSI6.5.67 | - controlling directors |
| PSI6.5.68 | Retained benefits offering a choice of form |
| PSI6.5.69 | - concurrent employments |
| PSI6.5.70 | Pensionable service general |
| PSI6.5.71 | - Continuous service on change of employer |
| PSI6.5.72 | - Continuous service on change of employer - employers associated |
| PSI6.5.73 | - Continuous service on change of employer - take-overs/mergers/reconstructions |
| PSI6.5.74-75 | - aggregation of split service |
| PSI6.5.80 | Low normal retirement age restriction on benefits |
| PSI6.5.81 | - benefits at normal retirement age |
| PSI6.5.82 | - early retirement |
| PSI6.5.83-84 | - late retirement |
| PSI6.5.85 | - procedure |
| PSI6.5.86 | Previous expectations |
| PSI16.5.87-102 | Pension Sharing on Divorce |
