Leaving service options letter for a defined benefit scheme

Instructions for use 

  • The model document under ‘Related File(s)’ below is a sample leaving service options letter for a defined benefit (DB) pension scheme. Information will need to be tailored to the particular pension scheme/member and you may wish to amend the layout or add additional information that you feel is useful for the member. 
  • Where figures are used, they are for illustrative purposes only.
  • The model document contains endnotes which provide further information for the person preparing the leaving service options letter. These deal with:

          – information to be given where a pension adjustment order is in place,

          – an instruction that only the options that are available to the particular member should be presented,

          – if there is an option for alternative benefits,

          – a time limit in which the member must request a transfer,

          – any additional benefits that are payable and whether any amounts have been transferred without the member’s

          – provisions under which benefits may/will be increased, and

          – modification of the risk statement.

While the Pensions Authority considers that this sample leaving service options letter has been prepared in accordance with the relevant legislation at 7 April 2015, anyone preparing a leaving service options letter should satisfy themselves that the information they give is compliant with the applicable legislative requirements.