SIPP benefit form – drawdown and lump sum payments
Please complete this form if you want to access your pension and take benefi ts as a lump sums or income drawdown. If you want to take an annuity please use the SIPP benefi t form – annuity purchase for this. Taking benefi ts from your pension is an important decision. We recommend that you take advice from a regulated fi nancial adviser before making your decision.
TD Direct Investing
SIPP benefit form – drawdown and lump sum payments
You are entitled to free, impartial guidance on your options from the Government-backed Pension Wise service. You can access this online at www.pensionwise.gov.uk, over the telephone from The Pensions Advisory Service or face-to-face through the Citizens Advice Bureau. To book a telephone or face-to-face-to-face-to-face meeting, call Pension Wise on 030 0330 1001. This is not a substitute for full, regulated fi nancial advice.
Pension Wise
• Start drawing benefi ts from your SIPP as a tax free lump sum (pension commencement lump sum) and fl exi-access drawdown.
• Add additional uncrystallised funds to your existing income drawdown fund (capped or fl exi-access), to enable you to take a further pension commencement lump sum and/or to increase your pension income
• Crystallise new funds as a taxable lump sum, also known as an uncrystallised funds pension lump sum. Please ensure that all relevant sections of this form are fully completed and that there is suffi cient cash in your SIPP cash account to pay the benefi ts requested. Failure to provide relevant information or insuffi cient cash will delay the payment of benefi ts.
This benefi t form must be completed if you wish to:
If you are already drawing benefi ts from your SIPP and simply wish to alter the frequency or amount of pension you are already receiving, or alternatively wish to receive a one-off pension payment then please write to us confi rming the details. Do not complete this form.
Changing income levels
If you are already drawing benefi ts under capped drawdown and wish to move to fl exi-access drawdown, please complete our capped to fl exi-access drawdown conversion form. Do not complete this form.
Converting to fl exi-access drawdown
Please use BLOCK CAPITALS only and blue or black ink, ticking boxes where appropriate.
To allow us to complete your instructions, we will use age verifi cation systems to confi rm your date of birth. If our searches are unable to verify your age we will request further evidence from you which may include a copy of your birth certifi cate or your marriage certifi cate if applicable. We will need to complete this verifi cation before any benefi ts can be paid. Alternatively, you can send us a copy of your current signed passport or driving licence, showing your date of birth and full name. Copies MUST be certifi ed by an independent person (not a family member), who must also provide their full name, address and daytime contact telephone number.
Please sign and date this form and return it to TD SIPP Administration
AJ Bell Management Limited Trafford House
Chester Road Manchester M32 0RS
Evidence of age
Please confi rm the following by ticking the relevant boxes:
Advice received
I have received advice from a regulated fi nancial adviser on my benefi t options
Yes No
I have received guidance on my benefi t options from Pension Wise
Yes No
It is important that you consider and understand the risks associated with the type of benefi ts you wish to take from your SIPP. Please read the following questions and answer Yes/No as appropriate. Please also read and consider the risk statements which follow each question before completing the rest of this form.
Please note that you must complete this section for us to be able to process your benefi ts
Points to consider before taking benefi ts
Do you understand the amount of tax you are going to pay when you take
money out of your SIPP? Yes No
Other than any tax free lump sum, payments you take from your SIPP are subject to income tax. You may have to pay a signifi cant amount of tax if you make large withdrawals in a short period of time.
Are you aware that once money is taken out of your SIPP it loses a number of
tax advantages and limits will apply to what you can pay back in? Yes No
Cash and investments held within your pension benefi t from signifi cant tax advantages when compared with cash and investments you hold outside pensions.
Is the SIPP your main source of income in retirement (excluding the
state pension)? Yes No
Is it important to you that the income you receive is secure?
Yes No
The pension you receive from your SIPP is not fi xed nor guaranteed for life. If security of income is important to you then an annuity may be a better option.
Are you married or do you have a partner or dependant who might outlive you?
Yes No
Your SIPP can provide pension and lump sum benefi ts to others after your death. When thinking about how much to take out you should consider whether others may be relying on your SIPP after your death.
Have you compared the charges you will pay with those that might apply if you
chose a different retirement option or pension provider? Yes No
The charges you pay will vary between different retirement options and pension providers. It is important to have considered the charges across a range of options before taking benefi ts.
Are you aware that creditors may have less of a call on the money held inside a
pension than if the money is taken out? Yes No
If you ever experience signifi cant debt problems any persons you owe money to may have more rights to your funds once they have been taken out of the pension.
Do you understand the impact taking money out of a pension may have on any
means-tested benefi ts you may receive? Yes No
If you are entitled to means-tested benefi ts (e.g. pension credit or housing benefi t) you should check with benefi ts agencies whether your entitlement may be affected by taking money out of your pension.
Have you been approached by someone encouraging you to take money out of
your pension for investment purposes? Yes No
Scams exist that can lead to the total loss of your investment. If you have been encouraged to take funds out of your pension to invest you should make sure you know that it is not a scam.
Do you have any health or lifestyle factors that might entitle you to an
enhanced annuity? Yes No
Once you access your pension benefi ts the amount you can contribute to all money purchase pensions each year, including your SIPP, and receive tax relief on those contributions, may be reduced.
If you only take one or more of the following types of benefi t you will continue to have an annual allowance of £40,000 • pension commencement lump sum
• purchase a lifetime annuity that cannot decrease in value • take income under capped drawdown
If you take any of the following types of benefi ts your annual allowance will be reduced to £10,000 • take taxable income from your fund that is not capped drawdown
• purchase a lifetime annuity that can decrease in value
If you want to make large contributions in the future you should carefully consider how you access your benefi ts.
Future pension contributions
I have read and understood all of the above questions and risk statements. Having considered the risks I confi rm that I wish to proceed with my application for benefi ts (please tick).
I have read and understood the benefi ts guide for the TD SIPP
Yes No
I have read and understood the charges and rates for the TD SIPP
Yes No
Personal information
Account Number: Date of birth: Forename(s) in full: Title: Surname: Permanent residential address: Postcode:Please provide the following information about yourself.
D D M M Y Y Y Y
Start date for benefi ts: Immediate: Other:
Take benefi ts from all, or only a part, of the uncrystallised funds in your SIPP as drawdown
Benefi t option 1
Please choose this option if you wish to take a tax free lump sum (pension commencement lump sum) now, and use the remainder of the fund to provide an income either now or at a later time.
Complete the amount, or percentage, of your SIPP that you wish to take benefi ts from (select one option only) a. all of your fund
(£) b. a set amount of your fund
% c. a percentage of your fund
Please select how you would like to take your benefi ts from the following two options, completing the relevant information:
This amount, or percentage, must be the total of the amount to be applied to provide a pension and the amount of any pension commencement lump sum linked to that pension. Please do NOT enter only the percentage to be taken as a pension commencement lump sum.
Please tick one of the following four options and complete the details as appropriate. 1. Pension commencement lump sum only
2. Pension commencement lump sum and one-off fl exi-access drawdown payment
Amount of one-off payment: Maximum (whole of fund) or other before tax (£) 3. Pension commencement lump sum and regular fl exi-access drawdown
You receive a pension commencement lump sum (if applicable) and the remainder of your fund is designated to provide an income by way of fl exi-access drawdown.
Income required before tax (£)
to be paid monthly quarterly half-yearly annually 4. Pension commencement lump sum and capped drawdown
This option is only available if you have an existing capped drawdown arrangement in place on 5 April 2015. You receive a pension commencement lump sum (if applicable) and the remainder of your fund is designated to provide an income by way of capped drawdown.
Maximum income allowed by HMRC under capped drawdown or other before tax (£)
to be paid monthly quarterly half-yearly annually
Crystallise new funds as a taxable lump sum (uncrystallised funds pension lump sum)
Benefi t option 2
a. All of my uncrystallised fund
(£) b. a set amount of my uncrystallised fund
Payment details
Please provide details of the bank/building society account to which you wish your income and pension commencement lump sum (if any) to be paid.
Account number:
Name of bank/building society: Branch address:
Postcode:
Important notes: If you have received a P45 from your previous employment, please forward this to us with this form and where permitted we will use this to apply the correct tax code for your pension. If you do not have a P45, we are legally obliged to use the emergency tax code on a Month 1 basis. We will advise our Tax Offi ce who will in turn contact your Tax Offi ce to confi rm your correct tax code. We can only change your tax code if instructed to do so by HMRC. You may wish to contact your Tax Offi ce to expedite the correct tax coding notice.
Your pension commencement lump sum payment will be paid via BACS, which will take four working days. You can receive the lump sum more quickly by choosing to make this payment by
CHAPS (same day transfer). If you wish to do this, please tick here (there is a one-off charge of £25 + VAT for this).
Sort code: Account in the name of:
Roll number (if applicable): Account type:
Protection
a) Have you registered for enhanced, primary, fi xed (2012 or 2014) or individual protection?
Yes No
If Yes, you must also complete our separate “Transitional protection and insuffi cient lifetime allowance form” and send this to us together with your completed benefi t form and a copy of your protection certifi cate from HMRC. b) Do you have a protected pension age?
Yes No
If Yes, what is the protected pension age?
Available lifetime allowance
Do you have suffi cient unused lifetime allowance (in other words is your unused lifetime
Death benefi t expression of wishes
If you are not using all your SIPP to purchase an annuity then please complete this section. The scheme administrator will use your remaining pension fund to provide benefi ts for your spouse, civil partner, dependants, members of your family, or other nominated benefi ciaries.
The nomination below ensures that as wide a range of people as possible are eligible to receive death benefi ts. (Please read our death benefi t expression of wishes guide for help with completing the form). Please note that if you are unsure about the implications of making the nomination and related expression of wishes or would like any advice about the effect of doing so, you should consult a fi nancial adviser or other appropriately qualifi ed professional.
In the event of my death, I nominate all of my Eligible Benefi ts Recipients (as defi ned in the scheme trust deed and rules) as the persons to whom the scheme administrator should consider allocating any death benefi ts arising under the above arrangements.
Nomination
In the event of my death, my wishes are that you consider allocating any death benefi ts from my SIPP between my Eligible Benefi ts Recipients as follows:
Expression of Wishes
Full name:
Individual Trust Relationship %
Full name:
Individual Trust Relationship %
Full name:
Individual Trust Relationship %
Full name:
Individual Trust Relationship %
% Total
Customer’s declaration and undertaking
I hereby request and consent to the payment of benefi ts as set out in this form and agree that:
a) It is my responsibility to ensure that there is suffi cient cash within my SIPP to pay benefi ts as they fall due. b) The basis used for valuing investments held under my SIPP for benefi t crystallisation purposes will be determined
by the scheme administrator, taking into account HMRC requirements. In particular, I understand that the value used for some types of investment (e.g. UK quoted stocks and shares) for this purpose may be different to that shown on my valuation statements.
I declare that:
i) The information contained in this form and any supporting information contained in the “Transitional protection and insuffi cient lifetime allowance form” is, to the best of my knowledge and belief, true, complete and not misleading. ii) As a consequence of payment of the tax free lump sum requested by this form (if any), the amount of
contributions paid by me, or on my behalf, to any registered pension scheme is not, and will not be, signifi cantly greater than it would otherwise have been.
iii) I agree that I will indemnify the scheme administrator against any liability to pay any tax or other charges which arise out of the provision of false or misleading information.
iv) I understand the risks associated with taking benefi ts, as set out in the TD SIPP retirement benefi ts guide. If you have any doubts whatsoever about which option is most suitable for you then please contact a regulated fi nancial adviser or the Government’s Pension Wise guidance service. We cannot provide you with any advice.
D D M M Y Y Y Y
Signature
X
Date:
Brokerage Services provided by TD Direct Investing (Europe) Limited (a subsidiary of The Toronto-Dominion Bank). Incorporated in England and Wales under registration number 2101863. Registered offi ce: Exchange Court, Duncombe Street, Leeds, LS1 4AX, United Kingdom. Authorised and regulated by the Financial Conduct Authority, 25 The North Colonnade, Canary Wharf, London, E14 5HS, United Kingdom (Financial Services Register Firm Reference Number 141282), member of the London Stock Exchange and the ICAP Securities and Derivatives Exchange. VAT Registration No. 397103051. www.tddirectinvesting.co.uk
Banking Services provided by TD Bank N.V. Incorporated in the Netherlands and registered as a branch in England and Wales under branch registration number BR006780. Authorised by the Dutch Central Bank (De Nederlandsche Bank – DNB Institution Number 481) and subject to limited regulation by the Financial Conduct Authority and Prudential Regulation Authority (Financial Services Register Firm Reference Number 216791). Details about the extent of our regulation
