Retiring

[abu13]

I have a company pension that i fully understand how it works due to it being a pension pot.

My wife works in education for the local council and it seems to be calculated totally different, I think i need to get some advice on it before making any plans.

 

[Kazzydeyna]

I have a pension from a previous employer with a value of £229k.

I recently requested a quote from it for when I am 66 etc.

Am I right in thinking I can simply take 25% of the 229k as a tax free lump sum and request that they pay me a certain amount per annum until the pot is empty or do I HAVE to stock to the annuity figures they quoted me??

Also, do I have to wait until I am 66 to claim it or can I take it at 55 (which I could have done if I still worked there)

 

[Tommy_Catons_Perm]

Without a doubt.
If you phone them they are quite good with advice.
My wife, a non tax payer, gets her state pension next July.
We just paid up extra years that will be in profit within 3 years of getting her pension.

Another thing we did was each year since pension freedoms were relaxed I have paid into a private pension for her the circa £2600 that she can pay in.
HMRC gives all the tax back into the pension,
At end of tax year draw the circa £3600 out.
Repeat paying in.
20% return a year.
Very nice.

Yes, I agree with the first point about state pension. Based on my rough calcs it seems to be in profit within about 4 years.

I also concur with the second point with a SIPP that I set up for the wife and pay in on her behalf. She is early fifties with very little pension saving and despite me rattling on to her for years to sort it she wont listen. So I sorted it for her. She will thank me one done......or maybe not if the blind will never see

 

[Tommy_Catons_Perm]

I have a pension from a previous employer with a value of £229k.

I recently requested a quote from it for when I am 66 etc.

Am I right in thinking I can simply take 25% of the 229k as a tax free lump sum and request that they pay me a certain amount per annum until the pot is empty or do I HAVE to stock to the annuity figures they quoted me??

Also, do I have to wait until I am 66 to claim it or can I take it at 55 (which I could have done if I still worked there)

Yes you do not have to buy an annuity and you can withdraw pension from age 55 and 25% is tax free. You can go in drawdown when each withdrawal is 25% tax free or take all 25% tax free first. I think the two ways are called drawdown and UFPLS aka uncrystallised funds pension lump sum. I don't fully understand it myself or know which is best way. It depends on circumstances. Beware you don't run out of money if you don't have other pensions like a DB scheme. You should get financial advice e

 

[denislawsbackheel]

I have a company pension that i fully understand how it works due to it being a pension pot.

My wife works in education for the local council and it seems to be calculated totally different, I think i need to get some advice on it before making any plans.

If she is a teacher her pension is a goldmine and you can find out a lot of info at the official site here.

Member Hub | Teachers' Pensions

Our site has been organised around our members. You can select what kind of member you are from the options below.

www.teacherspensions.co.uk

 

[sky tot]

A ballpark figure , what would a financial advisor charge for one off consultation ?

 

[RobMCFC]

Another thing we did was each year since pension freedoms were relaxed I have paid into a private pension for her the circa £2600 that she can pay in.
HMRC gives all the tax back into the pension,
At end of tax year draw the circa £3600 out.
Repeat paying in.
20% return a year.
Very nice.

This does sound like a nice little earner. Are you saying that you can still pay into the pension whilst drawing out at the same time?

 

[bert38]

The austerity may be linked to over generous pensions provisions so far removed from most workers options to be deemed something of a crime in itself, lucky bugger!

Its far from a sob story-personally my workload more than doubled in the last 5 years-from managing one custody suite to two-including one of the busiest in the country-overwhelming stress, risk and daily abuse that made me ill. 12 hour shifts-days and nights, with no break whatsover on most day shifts.

I paid £700 a month for my pension-so I expected it to be good. That said I left the majority of my lump sum behind to allow me to quit with my sanity.

This isn't about private v public. And frankly its ridiculous to suggest a 67 yr old could wrestle with criminals!

That said I am fortunate because I wasn't hit anywhere near as hard as the majority of my colleagues I left behind and I looked after my finances and invested my spare time to make sure I could afford to go and try to enjoy my time. There are still side hustles out there that can help people-and I do appreciate that there are plenty of people struggling in the present climate. Happy to take a pm or 2 if anyone wants a pointer (nothing in it for me).

 

[Lovebitesandeveryfing]

I basically took my retirement before working.

 

[Bluemanc100]

I retired in March at 56 and we both have pensions (RAF and NHS) that we draw now.. we also have rental income from a flat we own. I have a company pension that is currently unclaimed which is worth around £95k... I’ve been waiting for a recovery from the pandemic before claiming it so I’ve lost around £2k to date If you assume it would pay around £200 per month.

not sure if I’m better taking the 10% tax free then getting an annuity or going for drawdown?