State Pension Lump Sum
This section includes the following tabs. Click on a heading to find out more about the boxes on each tab.
| Option | Description |
|---|---|
| Description |
Click the drop-down list to choose one of the following:
You cannot choose an alternative description. |
| Tax rate applied | Choose the rate of tax applied to the lump sum before payment. The available rates are nil, lower, basic and higher rates of tax. |
| Gross amount before tax | The gross amount before tax is required. |
| Tax taken off | This amount is auto-calculated using the Gross amount before tax and the Tax rate applied. |
| Amount received | This is auto-calculated as the Gross amount before tax minus the Tax taken off. |
How do I get here?
Pensions and benefits > State pensions and benefits > State Pension Lump Sum
What's this page about?
An individual can defer the receipt of state pension. When the state pension does commence the weekly rate is incremented to reflect the amount deferred. Even if state pension has commenced an application can be made to defer receipt of later amounts (the claim cannot be retrospective).
The Pensions Act 2004 introduced an option for an individual to claim to receive the amount deferred as a lump sum instead of as an increment to the weekly rate.
Use this form to enter details of a lump sum received following the deferral of the receipt of a state pension.
This form should be used for the following:
- a state pension lump sum,
- a shared additional pension lump sum, or
- a graduated retirement benefit lump sum.
The tax year that you are entering details for is shown at the top of the data entry page. If you want to change the tax year, you should select a new date from the drop-down list at the top of the navigator.
-
Auto calc - If you tick this option, the calculations will be automatically completed for you where possible. If you untick this box you will see a new tab appear called Summary.
Note: Not all data-entry forms have an Auto calc option.
- Estimated - Tick this box to indicate that the figures you've used are estimated. This will then show on the item in the navigator, and at the higher level folder in the navigator by showing a small e.
- Complete - Tick this to indicate that the form is complete. A green tick will appear on the item in the navigator and at the higher level folder in the navigator.
If you want to close the page without saving any of your changes, you can click Cancel. If you were adding new details, then nothing will be saved. If you were editing an existing item then the page will close, reverting to your previously saved details.