You can take the whole of your DB plan as a pension and convert any M Plan fund into an annuity, which will give you a guaranteed pension for life.

You can take tax-free cash of up to 25% of the capital value of your IBM pension benefits. If you were a member of:

When you transfer to another provider, you have more choice as to what you can do with your pension benefits. The choice includes taking flexible income (also known as ‘flexi-access drawdown’). With this option, you leave your pension benefits invested and take cash sums out whenever you wish. 25% of each sum is usually tax free and the rest is taxable.

The basis of the CETV calculation is reviewed and agreed by the Trustee in line with actuarial guidance and legislation. A copy of the method and assumption used in calculating CETVs for the Main Plan can be found here and the method and assumption used in calculating CETVs for the I Plan can be found here.

If you were a member of:

The Trustee has a duty to ensure that transfers are made in accordance with the relevant legislation and regulatory requirements.  For the purpose of meeting this duty the Trustee has implemented a due diligence process which is designed to verify whether the necessary requirements have been met for the receiving scheme to be a valid destination for the Cash Equivalent Transfer Value (CETV).  

You need to be wary of transferring to schemes offering you loans, cash incentives or access to your funds before age 55 (except in cases of ill-heath).  These may constitute unauthorised payments and give rise to significant tax charges as a result. You can learn more about pension scams and liberation at this page. 

You can read more about the new flexibility under 'Pension freedoms'. 

Download the Retirement Options Booklet to find out more about your options.