Retirement Savings Accounts Regulations 1997

SCHEDULE 5 MINIMUM PAYMENT AMOUNT FOR AN ACCOUNT-BASED PENSION  

(regulation 1.08A )

SECTION 1(1)  

1(1)    
Subject to clauses 2 , 3 , 3A and 3B , the amount of payments mentioned in paragraph 1.07(3D)(a) is the amount worked out using the formula:

Account balance x Percentage factor

1(2)    
In subclause (1) : -

account balance
means:

(a) the amount of the pension account balance:

(i) on 1 July in the financial year in which the payment is made; or

(ii) if that year is the year in which the pension payments commence - on the commencement day; or

(b) if the amount of the pension account balance under paragraph (a) is less than the withdrawal benefit to which the beneficiary would be entitled if the pension were to be fully commuted - the amount of the withdrawal benefit.

percentage factor
means the percentage factor specified in the item in the table in clause 4 that applies to the beneficiary because of the beneficiary's age on:

(a) 1 July in the financial year in which the payment is made; or

(b) if that is the year in which the pension payments commence - the commencement day.