Pension Sharing Orders

Question 1

Pension sharing orders are available for divorce or anulment proceedings on or after?

Answer 1

1st December 2000

Question 2

PSO’s are available for the dissolution of a Civil Partnership on or after

Answer 2

5th December 2005

Question 3

The Ex Spouse/CP who is not a member of the scheme but who is the beneficiary receives what?

Answer 3

A Pension Credit

Question 4

Where the members arrangements are spread over several pots WITHIN THE SCHEME is the % agreed the same or different?

Answer 4

The same

Question 5

Where the members arrangements are spread over several different schemes, is the % agreed same or different?

Answer 5

Can be different dependant on what has been agreed

Question 6

What type of pension schemes cannot pay an external credit to transfer out?

Answer 6

Public sector schemes

Question 7

What do Public Sector Schemes do rather than agree to a transfer out?

Answer 7

Create an ‘internal pension credit’

Question 8

Can other schemes (aside from Public sector schemes) offer internal pension credits? If so what is the condition of doing this?

Answer 8

Yes but only if they have offered an external pension credit transfer option in addition

Question 9

What can be the disadvantage of an internal pension credit?

Answer 9

The rules of the scheme may be more restrictive compared to those of an external pension credit transfer

Question 10

Pension schemes have how long to implement a pension sharing order?

Answer 10

4 months from the later of: the date of the PSO or the date on which the pension scheme receives all the necessary documents and information required to implement the order

Question 11

When implementing the PSO, what 4 documents/type of information will the Scheme need to have?

Answer 11

1. A Finalised Consent Order
2. Pension sharing annex
3. Decree absolute
4. Ex Spouses/CP’s details (NI number, DOB, full names and addresses)

Question 12

What must the Ex Spouse/CP who is receiving a pension credit, advise the pension scheme of?

Answer 12

Where to transfer the funds to

Question 13

In the event of the receiving Ex Spouse/Cp dying before receiving the pension credit, death benefits can be paid in 4 different forms, which are?

Answer 13

1. A lump sum
2. A pension
3. An annuity contract or insurance policy
4. A combination of the above

Question 14

How many days within receipt of notification of death does a pension scheme have to notify any person it considers should be notified, of details of the pension discharge?

Answer 14

21 days

Question 15

Generally schemes can charge for the work involved in administering a PSO but this is limited to?

Answer 15

‘Reasonable Administrative Expenses’

Question 16

Who pays the charges scheme charges?

Answer 16

They can be paid entirely by one party or they can be shared between the member and Spouse/CP

Question 17

A pension scheme must state that charges are payable before what happens?

Answer 17

Implementation of the PSO

Question 18

What action can the scheme take until the charges are paid?

Answer 18

Postpone the implementation of the PSO

Question 19

What two ways can scheme admin charges be paid?

Answer 19

1. Directly from the Ex/Spouse / Member

2. By deduction of benefits

Question 20

Deduction of benefits as a method of paying scheme admin charges can only be used if charges are not payable before?

Answer 20

Implementation of the PSO