Pensions and Retirement Planning: Incentives and Disincentives
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Questions and Answers

What is the minimum amount that 'pensionable pay' can be in Set 1?

  • Basic pay (correct)
  • 85% of average pay
  • Average pay
  • Maximum pay
  • When can an employer use Set 2 to define 'pensionable pay'?

  • When the average pay is 95% or more
  • When the average pay is 90% or more
  • When the average pay is 75% or more
  • When the average pay is 85% or more (correct)
  • What happens when a jobholder chooses to opt-out of a pension scheme?

  • They are considered to have never been a member of the scheme (correct)
  • They are re-enrolled on the re-enrolment date
  • They are entitled to join a different scheme
  • They are no longer eligible for the scheme
  • What is the right of an entitled worker?

    <p>To join a pension scheme, but not necessarily an automatic enrolment scheme</p> Signup and view all the answers

    What happens when a jobholder chooses to contribute at a lower rate than required by legislation?

    <p>The scheme is no longer qualifying for them</p> Signup and view all the answers

    What is the right of an eligible jobholder who has previously opted out?

    <p>To opt back in to the pension scheme</p> Signup and view all the answers

    What is the minimum amount of earnings that must be pensionable?

    <p>All earnings</p> Signup and view all the answers

    When must a jobholder be re-enrolled into a qualifying automatic enrolment scheme?

    <p>On the re-enrolment date</p> Signup and view all the answers

    What is the definition of 'opting out' in the context of pension schemes?

    <p>Undoing active membership of a pension scheme</p> Signup and view all the answers

    Who has the right to opt in to a pension scheme?

    <p>Only non-eligible jobholders</p> Signup and view all the answers

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