You can put as much money as you want each year into your DC pension pot, but there’s a limit to the amount of savings the government will let you have tax relief on. The overall limit each year is called the Annual Allowance. Anything that you or HSBC puts into your DC pension pot above the Annual Allowance is taxed at your marginal rate of tax, unless you can ‘carry forward’ any unused Annual Allowance from the previous three tax years. 

Also if you make contributions to any other registered pension scheme these will also count towards your Annual Allowance limit. 

If you build up a large amount of pension savings over your lifetime, you may reach what is known as the Lifetime Allowance (LTA). This amount includes the value of your pension entitlement built up across all registered pension schemes that you’ve been a member of, not just the Scheme. 

If your savings exceed the LTA you’ll have to pay a tax charge on the excess, unless you have LTA tax protection.

You can find out more about the Annual Allowance and Lifetime Allowance here. 

While you’re working at HSBC, you may be able to transfer some or all of your money to another pension scheme and stay a member of the HSBC Bank (UK) Pension Scheme for future service. Remember, while your DC pension pot is invested in the pension scheme HSBC will pay the administration and investment management fees, but if you transfer your money out your new pension scheme may require you to pay administration and investment management fees. 

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If you’ve built up pension savings with a previous employer or in a personal pension, you may be able to transfer them into the pension scheme.

The amount of savings you end up with from any transfer-in payment depends partly on how well your investments perform and when you take your DC pension pot.

The HSBC Bank (UK) Pension Scheme may provide DC benefits in a different way from your previous scheme; for example, your previous scheme may link benefits directly to your salary. So it’s worth thinking carefully about whether transferring your pension savings into your DC pension pot will make the most of your money.

For more information about transferring savings from another pension scheme, see the DC member guide, ‘Knowing your DC pension pot’ (2.6MB, PDF) in our Information Centre.

If, while working for HSBC, you want to stop paying into your DC pension pot, you can simply visit My Choice on the My Benefits website. If you opt out, HSBC will stop putting money into your DC pension pot, your own contributions will also stop and you’ll be treated as a leaver. As an opt-out member, you’ll still be covered for the lump sum death benefit, payable through the Life Assurance Scheme. Your spouse/civil partner won’t be eligible for a pension if you die in service.

You can find more information on this under the ‘Leaving the Scheme' section on the Leaving HSBC page.

If you die while you're working for HSBC, your family and dependants could get the following financial help. These include:

• Lump sum death benefit 
• Spouse/civil partner’s pension 
• Dependant’s allowance
• Children’s allowance

For more information about protection benefits, visit our 'Choose your beneficiaries' page. Or see the DC member guide, ‘Knowing your DC pension pot’ (2.6MB, PDF) in our Information Centre.

Any consideration of a divorcing couple’s assets usually includes pension rights. Our HSBC Administration Team can help if you want more information. Remember to update your personal details if you’re getting divorced or dissolving your civil partnership. You should also make sure your details are up to date on the My Beneficiaries page in My Pension.

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If you’re on long-term sick leave or go on maternity, paternity, shared parental or adoption leave, HSBC will continue putting money into the pension scheme based on your pensionable salary. You can keep putting money in as well. The amount you pay will be based on the salary you actually receive during the period of absence, rather than your pensionable salary.

If your salary is reduced (or if you’re not being paid), any benefits that continue to be provided would be based on the notional pensionable salary you’d receive if you were at work.