RPSM10104190 - Technical Pages: Death benefits: Pensions: Dependants' scheme pension: The current member pension limit

The current member pension limit

The current member pension limit is

• the ‘initial member pension limit’ plus
• the total of

See RPSM10104200.

Provided the amount of aggregated dependants’ scheme pensions remains within the current member pension limit so calculated, the payment of those pensions will be authorised payments. But if the total dependants’ scheme pensions exceed the current member pension limit, the excess is not a dependants’ scheme pension for the purpose of the pension death benefit rules. The excess is an unauthorised member payment.

Apportionment where more than one dependants’ scheme pension is payable

Where the circumstances described in RPSM10104150 apply, the current member pension limit is apportioned between the pensions payable. The limit is apportioned by reference to the amount of each dependants’ scheme pension payable in a 12 month period as a proportion of the total amount of dependants’ scheme pensions payable in that 12 month period. This is shown in the legislation as

P

AP

P = the amount of the particular dependants’ scheme pension payable in the 12 months in question.

AP = the total of the amounts of each of the dependants’ scheme pensions payable under the pension scheme to dependants of the member in the 12 months in question.