Checked ya pension pot lately?



42 said:
Switching probably involves fees, so it could cost more in long run. And there's no guarantee that a fund that performed better is going to perform better next year etc
Markets are up about 2% so far today, so could be fully recovered tomorrow
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A good rule of thumb is to check whether I've just switched out of anything.

I have a fabulous track record of withdrawing from a fund only to see it rocket upwards
 
Wayne The Punk said:
I am currently paid 2 pensions, one from British Coal and one from EDF energy, the last one only had a value of around £55k so based on the next to fuck all it would give me annually, I am in the process of drawing it down, first bite at it in the next few days and another chunk in April
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You can take 25% of your pension pot without incurring tax. Can you take 25% next tax year and another 25% the tax year after and so on till you've taken it all? Or do you only get tax relief on the first 25%?
 
John Steed said:
You can take 25% of your pension pot without incurring tax. Can you take 25% next tax year and another 25% the tax year after and so on till you've taken it all? Or do you only get tax relief on the first 25%?
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Way I understand it is , say if your pot was £100k, you can get 25% tax free , so 25k, you don’t have to take all of that in the first year though , you could access 5k of your tax free amount for 5 years say. I think anyway . But either way your limit is 25k then the normal tax rules apply

I do think once we come out the other end of Covid 19 that the pension tax loopholes could be an easy target for the chancellor
 
Fletch said:
Way I understand it is , say if your pot was £100k, you can get 25% tax free , so 25k, you don’t have to take all of that in the first year though , you could access 5k of your tax free amount for 5 years say. I think anyway . But either way your limit is 25k then the normal tax rules apply

I do think once we come out the other end of Covid 19 that the pension tax loopholes could be an easy target for the chancellor
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I have always thought it should be flat rate relief at say 25%. People who contribute at between 100-123k get 60% tax relief.
 
Longy said:
Just 25% of the whole pot. The rest is charged as income tax at your marginal rate.
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So, hypothetically speaking.
If I had a pot of say £100k, I could take £25k tax free as a one off lumper. Then take £12.5k a year for next 6 years tax free if i wanted to defer my DB pension a few years to reduce the actuarial reduction.?
 
42 said:
So, hypothetically speaking.
If I had a pot of say £100k, I could take £25k tax free as a one off lumper. Then take £12.5k a year for next 6 years tax free if i wanted to defer my DB pension a few years to reduce the actuarial reduction.?
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Aye. As long as you’re 55 now. Remember your remaining £75k will still be invested, so with a bit of luck you’ll get a bit more than 6yrs out if it.
 
Ghfd said:
With the tory party likely to be in government forever, the retirement age will be in the late 70s when some of the 20 odd years old people on here retire.

or even up to 80.

still they won, but corbyn lost and to be fair as Jacob Rees mogg said, the brexit benefit will arrive in fifty years time.

good luck
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What are you basing those numbers on mate? Are you an actuary?

And FYI personal pension retirement ages are not linked to state pension age.
 
Ghfd said:
With the tory party likely to be in government forever, the retirement age will be in the late 70s when some of the 20 odd years old people on here retire.

or even up to 80.

still they won, but corbyn lost and to be fair as Jacob Rees mogg said, the brexit benefit will arrive in fifty years time.

good luck
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JRM is a right wanker but credit to him he did the thickheeds up good and proper.
 
Charmless Man said:
I mean, I'm aware life moves fast. I'm not gonna lose sleep over the state of my pension now though.

I'm doing the sensible thing in having other investments in case something like this does happen.
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Just as well I made provision all those years back too :D ....I didn`t lose any sleep over it at the time either.
 
Pop said:
What are you basing those numbers on mate? Are you an actuary?

And FYI personal pension retirement ages are not linked to state pension age.
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Based on the reality already. Ages have risen to 67. Tories in forever what makes you think they won’t increase? Tory promises?

FYI I know exactly about personal pensions as I have one. A lot didn’t have any chance to build towards any pension in the period 1979 to 1997.

now we have the double whammy of Covid and brexit, where even arch brexiteer Jacob Rees mogg stated that the benefit of it won’t be felt for 50 years, I suppose the boom industry of picking fruit will be lovely for all those coming up to pension age, but to be able to receive a benefit they need to be available for any type of work

have you missed the last ten years? Stick that up your back pipe Pop
 
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Ghfd said:
Based on the reality already. Ages have risen to 67. Tories in forever what makes you think they won’t increase? Tory promises?

FYI I know exactly about personal pensions as I have one. A lot didn’t have any chance to build towards any pension in the period 1979 to 1997.

now we have the double whammy of Covid and brexit, where even arch brexiteer Jacob Rees mogg stated that the benefit of it won’t be felt for 50 years, I suppose the boom industry of picking fruit will be lovely for all those coming up to pension age, but to be able to receive a benefit they need to be available for any type of work

have you missed the last ten years? Stick that up your back pipe Pop
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Bit of a history lesson

John major equalised pensions in 95 meaning women now had to wait until 65 before getting state pension

It was then the Labour government in 2007 who increased SPA to 68

Then Camerons lot sped up labour's plans by a few years.

It doesn't matter who's in charge, as we're living longer (and entering workplace later) pensions become more expensive.
 
Longy said:
Aye. As long as you’re 55 now. Remember your remaining £75k will still be invested, so with a bit of luck you’ll get a bit more than 6yrs out if it.
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I’ve got two defined benefit pensions and an AVC pension that I want to use first to protect the other two. Why do you need to be 55 now?
 
Gala said:
I’ve got two defined benefit pensions and an AVC pension that I want to use first to protect the other two. Why do you need to be 55 now?
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It's been 55 for ages now. The plan is to raise it to SPA - 10
So I won't be able to get mine until 58, unless I just drawdown from S&S ISA

That said, some old employer schemes may allow to take earlier.
 
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