RPSM04104670 - Technical Pages: Taxation: Unauthorised payments: Unauthorised payments surcharge: Valuing uncrystallised member rights
Valuing uncrystallised member rights when calculating the unauthorised payments percentage
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Uncrystallised rights are rights to benefits that the member is not currently entitled to have in payment.
Uncrystallised rights do not include the sums and assets making up a drawdown pension fund (before 6 April 2011 an unsecured pension fund or an alternatively secured pension fund). This is because, even if a member chooses not to draw benefits from those funds, the member still has the right to the actual payment of a drawdown pension (before 6 April 2011 an unsecured pension or alternatively secured pension).
How uncrystallised rights are valued depends on the form of the benefits being provided by an arrangement, i.e. is the arrangement
- a cash balance arrangement (see RPSM04104680),
- an other money purchase arrangement (see RPSM04104690),
- a defined benefit arrangement (see RPSM04104700), or
- a hybrid arrangement (see RPSM04104720).
RPSM04104680 to RPSM04104720 set out how uncrystallised member’s rights are valued for each type of arrangement.
| Glossary (RPSM20000000) |

