SCHEDULE 2Scheme flexibilities
PART 4Election to buy out the standard reduction
CHAPTER 2Making a buy-out election
Eligible to make buy-out election
31.
(1)
A member (P) who has a normal pension age over 65 may elect to pay contributions to buy out the standard reduction (“buy-out election”) for a period of up to 3 years.
(2)
A buy-out election has effect from the day on which the scheme manager accepts the election.
(3)
A buy-out election ceases to have effect when the earliest of the following occurs—
(a)
P reaches normal pension age;
(b)
a retirement pension other than a phased retirement pension becomes payable to P;
(c)
P revokes the election or is taken to revoke the election.
(4)
A buy-out election may only be made within 6 months after P enters pensionable service under this scheme.
(5)
When making a buy-out election, P must be—
(a)
in pensionable service; and
(b)
under normal pension age.
(6)
P may by written notice to the scheme manager vary a buy-out election if P’s normal pension age changes before a retirement pension becomes payable to P.