RPSM08300050 - Scheme Administrator Pages: Pension age: What benefits can the member take?

What benefits can the member take?

The scheme rules will determine the benefits which can be taken by the member and when they can be taken. HMRC legislation enables members to take benefits from different schemes or separate arrangements within the same scheme at different times; for example, they may wish to take their additional voluntary contribution (AVC) benefits at age 55, and then take their main scheme benefits at age 60.

HMRC legislation on the payment of benefits is covered in detail at RPSM09100000 onwards. The payment of benefits will also be subject to any Department for Work and Pensions (DWP) restrictions.

"If a member is entitled to a pension credit benefit following a pension sharing order on divorce or dissolution of a civil partnership, then the age at which the member can receive payment of that benefit depends on where the benefit is held, and also can be affected by the type of pension that was shared. If the benefit is held in an occupational pension scheme, then the earliest date at which the member can receive payment is at 'normal benefit age', which must be between 60 and 65. If the benefit is held in a personal pension scheme, it can be paid from age 60, or at any time after age 50 (before 6 April 2010) or age 55 (on or after 6 April 2010), depending on the type of pension that was shared."