DB Schemes - Annual Allowance and Carry Forward

Moonwolf

Last year the increase in value of the DB (career average) pension I’m paying into was about £1,200.  The first £1,000 is roughly 1/54 of my salary the remainder is revaluation of previously accrued pension by CPI+1.5%

I have two deferred DB (final salary schemes) that grew by between them about £150, this is just CPI.

I also paid in £6,000 gross into a DC scheme.

I’m not clear how my annual allowance is calculated in a mixed environment and the contribution of CPI.  Do frozen pensions that only grow by CPI affect annual allowance?

Potentially I might be made redundant and I might be able to bring forward my pension payment date by sacrificing redundancy pay.  However as this would change the date my pension is paid, not the final value of my pension. Logically even if it was a large sum of money, as it hasn’t changed the value of my pension would it have any impact on annual allowance.

NedS

Moonwolf said:

I’m not clear how my annual allowance is calculated in a mixed environment and the contribution of CPI.  Do frozen pensions that only grow by CPI affect annual allowance?

There is no such thing as 'frozen'. If you are still an active member then the scheme(s) count. If you are a deferred member, then they are disregarded from Annual Allowance calculations. Are you an active or deferred member?

You would then calculate the amount for each scheme individually, and add the values together to give you your contributions towards your annual allowance.

Moonwolf

NedS said:

There is no such thing as 'frozen'. If you are still an active member then the scheme(s) count. If you are a deferred member, then they are disregarded from Annual Allowance calculations. Are you an active or deferred member?

You would then calculate the amount for each scheme individually, and add the values together to give you your contributions towards your annual allowance.

Deferred member, both schemes are closed to new members and relate to previous jobs of mine.  I have edited my post to represent that.

NedS

Moonwolf said:

NedS said:

There is no such thing as 'frozen'. If you are still an active member then the scheme(s) count. If you are a deferred member, then they are disregarded from Annual Allowance calculations. Are you an active or deferred member?

You would then calculate the amount for each scheme individually, and add the values together to give you your contributions towards your annual allowance.

Deferred member, both schemes are closed to new members and relate to previous jobs of mine.  I have edited my post to represent that.

Then you can ignore those as they are fully disregarded (assuming you have not made and contributions in the current tax year) for the purposes of annual allowance.
Your contributions towards your annual allowance will be the Pension Input Amount (PIA) from your active DB scheme plus any gross contributions into any DC schemes.