Buzz: DB conversion factor for lifetime allowance inappropriate

clock • 1 min read

Many contributors said the conversion factor of 20 used when testing defined benefit (DB) schemes against the lifetime allowance (LTA) undervalued the benefits promised.

  One contributor said the current rules valued a DB pot at about half the capital sum it would take a defined contribution (DC) saver to buy the same benefits. They said: "The DC saver at th...

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