business/finance

[bundoran]

could anyone have any information on the 85 year rule re pensions?

[Captain Spod]

Yes, these people could (and in fact do):

http://www.lpfa.org.u...rs/currentscheme.aspx

[bundoran]

thank you captain

[factor-fiction]

It applied in some logal governernment schemes ( allowing benefits to be taken early without penalty if age plus number of years' membership exceeded 85) but think it was abolished a few years ago

[buildersmate]

"Removal of the 85 year rule

For all leavers between 1 April 1998 and 30 September 2006 reductions on account of all early payment of benefits were calculated according to the 85 year rule. The 85 year rule allowed members to take unreduced benefits before normal retirement date when their Age + Membership = 85. If the 85 year rule was not met reductions applied. The reductions were be based on the shortfall to when the member would have achieved the 85 year rule.

The 85 year rule has been removed with effect from October 2006. Active members on 30th September retained some protections against the removal of the 85 year rule. In their case;

Benefits in respect of membership before April 2008 will be calculated in accordance with the 85 year rule.

For members aged 60, and able to achieve the 85 year rule, before 1st April 2016, all benefits in respect of membership before April 2016 will be calculated in accordance with the 85 year rule.

For members aged 60 before 1st April 2020 benefits in respect of membership between April 2008 and March 2020 will be tapered, with greater protection given to those who would achieve the 85 year rule earlier."