RPSM08300010 - Scheme Administrator Pages: Pension age: What is meant by “pension age”?

What is meant by “pension age”?

Pension age is the age at which a member can take their benefits. The rules of the pension scheme will determine the minimum and maximum age a member can take their pension benefits from the scheme. Generally scheme rules must not allow a member to take their pension benefits from the scheme until they reach the normal minimum pension age.(see RPSM08300020).

It is the decision of the scheme administrator in accordance with the scheme rules to determine the minimum and maximum ages at which the members can take their benefits from a particular scheme. Scheme rules should not allow benefits to be paid before the minimum pension age and there are tax consequences for any that are, as such payments will normally be unauthorised payments from the scheme.