Can the member choose their beneficiaries?
The pension in respect of any contracted out employment must be paid according to the DWP regulations. If the ‘s32’ buyout bond is set up under trust, the member can specify to whom any remaining benefits should be paid on their death. If the ‘s32’ buyout bond is not set up under trust, any lump sum death benefit will be paid to the member’s estate, which may be subject to Inheritance Tax.
