Pre A-Day Pensions

If you became a member of a pension savings scheme before the new pension rules came into force on A-Day, 6th April 2006, there is generally no reason to worry about these changes. However, if your pension savings scheme promised you a tax-free lump sum on retirement that is larger than twenty-five percent of your total pension savings fund, or if your total pension fund is larger than the lifetime allowance, you will have to apply to Her Majesty’s Revenues and Customs, HMRC, to ensure that your lump sum rights are protected and your pension fund is exempt from the lifetime allowance. If you believe that you could be affected by the A-Day changes, seek advice from your scheme provider or an independent financial advisor. You must register any claims regarding pre A-Day pensions with HMRC using the ‘Protection of Existing Rights’ form by the 5th April 2009 at the latest.