NIM02782 - Class 1 NICs: earnings of employees and office holders: retirement benefits schemes from 6 April 2006: employer-financed retirement benefits schemes: payments from such schemes: authorised member payments: flowchart: lump sums

You must read this page in conjunction with NIM02780 (first considerations).

Payment out of the EFRBS is a lump sum.

 

Step 1  

Is the lump sum a:

  • pension commencement lump sum (PCLS) NIM02769; or
  • serious ill-health lump sum (SIHLS) NIM02771?

Yes Go to step 2 

No Go to step 4

 

Step 2   

Is the lump sum a PCLS?

Yes Go to NIM02783

No Go to step 3

 

Step 3    

Is the lump sum a SIHLS?

Yes Go to NIM02784

 

Step 4    

Payment cannot be disregarded in the calculation of earnings.


Flowchart.