Additional voluntary contributions (AVCs) are extra amounts of money which you may choose to save in order to enhance the pension you will receive on retirement. If you are in a company pension scheme, it may be that the amount of money being saved for your retirement is less than you would like. By making extra contributions, you can effectively boost your pot of money and income in retirement.
Additional Voluntary Contribution Scheme
Additional Voluntary Contributions. This is a method you can use to top up your pension. You pay additional contributions to a pension provider â€“ this should then build up to a fund. When you retire, you use your fund to buy an annuity â€“ a pension for life â€“ which is on top of your Civil Service pension. See Your choice... topping up your pension benefits. [ Back to A to Z list
additional voluntary contributions can be made by employees who are members of a defined benefit scheme where they are unlikely to obtain their full entitlement (i.e. 50 years) under the scheme. Contributions are limited to 15% of the employee's net relevant earnings and attract tax relief given by deducting the payments from the individual's salary before tax is taken. The payments made by the individual go into the business's ension fund.
Additional Voluntary Contributions" & _ " Concerns those with an occupational pension. A scheme, run by your employer, that enables you to pay extra money into your occupational pension in order to gain additional benefits on retirement. Your employer can take the contributions from your pay. Also see FSAVC.
stands for Additional Voluntary Contributions. Contributions made by a member of an Occupational Pension Scheme, to that scheme, over and above the normal contribution level, in order to purchase additional retirement benefits.