John has been a member of his employer's DC pension scheme for a number of years. He has now left service. He can take a transfer value from the scheme to a PRSA if he was a scheme member for which period?

• A. 12 years
• B. 18 years
• C. 20 years
• D. 21 years

Answer: (A)

The key idea is that there’s a minimum period of membership in the employer’s DC pension scheme that must be met before you can transfer the pot to a PRSA when you leave service. In this scenario, the rule sets twelve years as that minimum. So if John has left and wants to transfer his value to a PRSA, he must have been a scheme member for at least twelve years. If his time in the scheme is shorter than that, a transfer to a PRSA isn’t allowed under this rule. If he has longer tenure, he would also be eligible, but the question focuses on the minimum threshold that must be met. The other options aren’t the required minimum period, which is why twelve years is the correct choice.