In the second video in this series we look at what is annual allowance and how does it work in the LGPS?

We explore what the annual allowance limit is and what happens if you exceed it. We also look at how pension growth is measured in the LGPS as a defined benefits pension scheme and some of the key reasons why members exceed the limit.

We take a quick look at the calculations involved - we explore these in more detail in video 3 - and explain how carry forward can reduce or eliminate a Pension Savings charge from HMRC.

We have also produced a guide to annual allowance for LGPS members which you can find on the Resources section of our website: https://essexpensionfund.co.uk/resour...

Useful Links:

LGPS member website https://www.lgpsmember.org/your-pensi...

MoneyHelper website https://www.moneyhelper.org.uk/en/pen...

UK Government website https://www.gov.uk/hmrc-internal-manu...

HMRC Annual Allowance calculator https://www.tax.service.gov.uk/pensio...
Music by Joystock - https://www.joystock.org