RPSM11102070 - Technical Pages: Lifetime allowance: When you test for the lifetime allowance: Age 75
Testing against the lifetime allowance at age 75
|[s216(1)][Para 2 Sch 32]|
Benefits held in a registered pension scheme in respect of a scheme member will always have been tested against that member’s lifetime allowance by their 75th birthday, whether or not those benefits have been drawn by that point. If benefits have not been drawn by the member’s 75th birthday they are valued and tested for lifetime allowance purposes at that point.
The only BCE that can be triggered after an individual’s 75th birthday is where a scheme pension in payment is increased beyond the permitted margin (so through BCE 3).
RPSM11102080 explains what happens at age 75 under a money purchase (including a cash balance arrangement).
RPSM11102090 explains what happens at age 75 under a defined benefits arrangement and under a hybrid arrangement.
RPSM11104640 explains what happens at age 75 when the member has a previously designated drawdown (before 6 April 2011 unsecured) pension fund which has not been fully applied to a scheme pension or lifetime annuity.