Appropriate age-related percentages for appropriate personal pension schemes4
1
This article applies for the purposes of section 45(1) of the 1993 Act (amount of minimum contributions).
2
For a relevant tax year, the appropriate age-related percentage in respect of earnings of an earner is determined in accordance with paragraph (3), (4) or (5).
3
If the earnings do not exceed the low earnings threshold, the appropriate age-related percentage is the column B percentage.
4
If the earnings exceed the low earnings threshold, but do not exceed the upper earnings threshold, then—
a
in respect of the part of the earnings that does not exceed the low earnings threshold, the appropriate age-related percentage is the column B percentage;
b
in respect of the part of the earnings that exceeds the low earnings threshold, the appropriate age-related percentage is the column C percentage.
5
If the earnings exceed the low earnings threshold and the upper earnings threshold, then—
a
in respect of the part of the earnings that does not exceed the low earnings threshold, the appropriate age-related percentage is the column B percentage;
b
in respect of the part of the earnings that exceeds the low earnings threshold but does not exceed the upper earnings threshold, the appropriate age-related percentage is the column C percentage; and
c
in respect of the part of the earnings that exceeds the upper earnings threshold, the appropriate age-related percentage is the column D percentage.
6
For a relevant tax year, in respect of earnings of an earner—
a
the column B percentage is the percentage given in column B of the appropriate table by reference to the age of the earner on the day immediately before the start of that tax year;
b
the column C percentage is the percentage given in column C of the appropriate table by reference to the age of the earner on the day immediately before the start of that tax year;
c
the column D percentage is the percentage given in column D of the appropriate table by reference to the age of the earner on the day immediately before the start of that tax year.
7
The appropriate table is the table in—
a
Schedule 2, if the relevant tax year is 2007-2008;
b
Schedule 3, if the relevant tax year is 2008-2009;
c
Schedule 4, if the relevant tax year is 2009-2010;
d
Schedule 5, if the relevant tax year is 2010-2011;
e
Schedule 6, if the relevant tax year is 2011-2012.