Retirement benefits from NHS pensions
January 27, 2015
We are often asked about the steps that need to be taken for a principal to claim the retirement benefits from NHS pensions.
The member must complete a form AW8 – “Retirement Benefits Claim Form”.
Only parts 7 to 14 of the form should be completed by the member, the employer completes parts 1 to 6. In order for the benefits to be paid on time, the form must be sent to the employer at least 3 months prior to your retirement date.
Options available to the member practitioner include a pensions based on updated earnings per year plus a tax free retirement lump sum amounting to 3 times the pension. There is additionally an option to exchange part of the pension for more cash, up to 25% of the capital value.
If a member is taking 24-hour retirement and subsequently returning to work, they must retire from their contract for at least 24-hour and not to work for more than 16 hours per week for the first month after retirement.
We always strongly recommend that the dentist principal consults an independent financial adviser before deciding what options to take.
For more information on the topic, please contact 01772 821 021.