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|Annual Allowance (AA)
||The overall limit on the amount of savings you can make in any single tax-year. The AA has been set at £40,000 for the 2018/2019 tax year. You'll be charged tax on any amount that exceed the AA limit.|
The Company's Salary Sacrifice scheme.
|Cash Lump Sum||
A tax-free cash sum that you can take as part of your Retirement Account (usually 25%).
Bayer plc and Bayer CropScience Limited, plus any associated or subsidiary companies.
Defined Benefit Section
|A scheme in which the benefits are defined in the scheme rules and accrue independently of the contributions payable and investment returns. Most commonly, the benefits are related to members' earnings when leaving the scheme or retiring, and the length of pensionable service. Also known as 'final salary' or 'salary-related' scheme.|
|Dependant||Those who are financially reliant on you including your spouse, civil partner or dependant children.|
The Earnings Cap applies to all members who join the Plan on or after 1 June 1989. This is an upper limit on the earnings which can be used to calculate contributions to and benefits from the Plan. It may be increased each year in line with price increases.
|Lifetime Allowance (LTA)||
The total amount of pension savings that can benefit from tax-relief. The LTA was set at £1,030,000 for the 2018/19 tax year. If the total of your pension savings exceeds the LTA, you'll have to pay tax on the excess.
|Normal Retirement Age (NRA)||
Normal Retirement Age is 65 years.
The company appointed by the Trustee to deal with the day-to-day administration of the Plan. For the Defined Contribution Section of the Plan this is currently Aegon and for the Defined Benefit Section it is BBS.
The Plan is set up as a Trust. This enables the Plan to receive valuable tax advantages and also ensures the assets of the Plan are kept separate from the Company.
A Trust is managed by its trustees. This can either be a group of individuals, or a trustee company, which is a company set up with its only purpose being to look after the trust. The individuals in this case will be Trustee Directors of the trustee company.
The Plan is looked after by its own trustee company, called 'Silver Birch Trustees Limited' (but is often known simply as 'the Trustee'). Under the current arrangements, the Trustee board is made up of a total of 6 Trustee Directors.
The Trustee Directors must look after the Plan in accordance with the law and its own governing documentation, known as the ‘Trust Deed & Rules’. To help them do this, they continually make sure they have the appropriate knowledge and understanding and are also able to call upon specialist professional advisers.