Since 6 April 2006 there has been no absolute limit on the level of benefits an individual can be provided with under a registered pension scheme such as the Teachers’ Pension Scheme. Instead each individual has an allowance - a Lifetime allowance (LTA) – in respect of all their pension benefits before they become subject to tax charges at the point of taking benefits.
The Lifetime Allowance was frozen at £1,073,100 on 6 April 2021, until April 2026. When the Lifetime Allowance limit reduced from £1.25m to £1m on 6 April 2016, HMRC introduced two types of ‘transitional protection’:
If you have protection, then you'll need to provide the certificate reference number (for paper certificates) or, a protection notification number, and the Scheme administration number (for online applications) to Teachers’ Pensions, before we can calculate the benefits payable.
We've created a series of briefing notes to help you understand the changes.
Find out how your pension fits into your working life
Read our FAQs
Apply for assistance with LTA charges
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Learn more about the Lifetime Allowance.
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