Section 101AB — Pensions Act 2004: Right to cash transfer sum and contribution refund

Right to cash transfer sum and contribution refund 101AB 1 On the termination of his pensionable service, a member of an occupational pension scheme acquires a right to whichever one he elects of the following options—

a a cash transfer sum;

b a contribution refund.

2 Subsection (1) is subject to the following provisions of this Chapter.

3 In this Chapter “ cash transfer sum ” means, in relation to a member of an occupational pension scheme, the cash equivalent, at the date on which his pensionable service terminates, of the benefits mentioned in section 101AA(4)(b).

4 In this Chapter, “ contribution refund ” means, in relation to a member of an occupational pension scheme, a sum representing the aggregate of—

a the member’s employee contributions to the scheme, and b where transfer credits have been allowed to the member under the scheme by virtue of a payment (“ the transfer payment ”) made by the trustees or managers of another occupational pension scheme, the member’s employee contributions to that other scheme, so far as they—

i relate to the transfer payment, and ii do not, in aggregate, exceed the amount of the transfer payment.

5 In subsection (4), “ employee contributions ” means, in relation to a member of an occupational pension scheme, contributions made to the scheme by or on behalf of the member on his own account, but does not include—

a a transfer payment by virtue of which transfer credits have been allowed to the member under the scheme, or b any pension credit or amount paid to the scheme which is attributable (directly or indirectly) to a pension credit.