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60 options
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zz666
- Posts: 223
- Joined: 22 Jul 2016, 20:08
- Gender: Male
60 options
I'm in section b of RMPP. I've noticed this year there is an option 1 and 1b, and an option 2. This has changed since last year I think. The amount of tax free cash from cash balance scheme appears less as well. Can anyone shed some light on this.
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heapsy
- Posts: 2949
- Joined: 02 Jun 2007, 23:40
- Gender: Male
- Location: Drinking with Gangsters
Re: 60 options
Robert T is probably better at explaining this, but I think it is linked to which section of the pension scheme you are in. Section B members automatically receive a lump sum. Section C members do not. So the Cash Balance scheme is more advantageous to Section C members. From what has been posted on here, you can take some of the CB money at 60. This is beneficial to Section C members but less so for Section B members due to the reason I've already mentioned. Due to the CB scheme carrying on for longer than anticipated, it is more likely that Section B members will more than likely be taxed on the lump sum. This is less likely with Section C members.