Income limits to be calculated using GAD technique

pensions

The calculation of maximum income for unsecured and alternatively secured pensions will be based on GAD tables. But if these are not updated, pension funds could become exhausted

On 9 March 2005, the Inland Revenue published further draft statutory instruments in relation to the pension simplification project. One of the more relevant points for advisers and insurance companies related to the calculation of the maximum income limits for unsecured pension (drawdown) and alternatively secured pension (Asp - drawdown post age 75). The original intention had been for the new limits for drawdown to be linked to the FSA annuity website, which publishes up to date annuity rates for all the top providers. The new regulation states the limits will be linked to the "good old...