PSI6.5.6 - Total Benefits On Retirement At Normal Retirement Age: Maximum Total Benefits - Final salary/defined benefit schemes - Uplifted 60ths

(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)

[PN7.29]

The most common way of giving the pre-17 March 1987 late entrant continued rights member a pension in excess of N/60ths is by use of uplifted 60ths (see PSI6.5.5(b)). The uplift scale enables a pension of 2/3rds final remuneration to be given after just 10 years’ service to NRD, subject of course to the final paragraph of PSI6.5.5.

The uplifted 60th scale is as follows:

Note 1 Fractions of a year can be interpolated into the scale.

Note 2 The maximum pension is before commutation and includes:

1. the annuity equivalent of any separate lump sum (see PSI6.5.3), and
2. any pension earned by the employee’s additional voluntary contributions (AVCs) (see PSI4.1.3-4 and Section 4 of Part 4).