If you build up a large amount of pension savings over your lifetime, you may reach what is known as the Lifetime Allowance (LTA). The Lifetime Allowance (LTA) was the maximum amount that someone could save in their pension without incurring additional tax. The LTA has now been abolished and has been replaced by two new lump sum allowances. From 6 April 2024, the total amount of your pension savings (across all your pension schemes) that can be paid as tax-free lump sums will be limited by the Lump Sum Allowance and the Lump Sum and Death Benefit Allowance.

You can find out more about the Lifetime Allowance here

One of the choices you have as a deferred member is to transfer out the value of your benefits to another pension scheme.

You can transfer your DB pension to a new employer's pension scheme, or a registered pension arrangement that will accept it. If you choose this option you need to complete a Transfer-out Request form, please contact the Scheme Administrators for further information.

If you die, what happens to your DB pension savings will depend on your original scheme. You can find your Scheme booklets in the Information Centre. Even as a deferred member, it’s important to make sure you keep your beneficiaries’ details up to date.

You can log on to Member Self Service (MSS) to adjust your beneficiaries’ details. You’ll need your username and password to log in. Don’t know yours?

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 all of your details are up to date on the My Nominations page in MSS.

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