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| Snowy90 Member Since: 23 Feb 2015 Location: Surrey Posts: 482   
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Im sure someone with pensions experience will be along soon and of course its upto you to make the decision.
You haven't said if you need the money ie i assume you have other sources of income? This will in my mind help you to determine what level of risk you can afford to take. But my view on such matters and its only my view. Is there will almost certainly be better returns to be had from funds or Stocks n Shares ISA's but they all come with risk which may be greater than just leaving the money where it is. £20-40k would buy a nice defender, which shouldn't lose money and can be enjoyed or it could be a deposit for a buy to let depending on where you are, locking up the money but with some income and hopefully some capital gain in years to come. My general view is spread your bets leave some in the pension and re-invest some somewhere else. Just ask a professional who can assess your appetite for risk. Im sure you have thought about all of these routes but just my opinion. |
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16th Jan 2020 2:28pm |
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| gilarion Member Since: 05 Dec 2013 Location: Wales Posts: 5110  
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If you are only 55 leave it in 40k in five or ten years time will be a lot more. I had a similar dilemma a few years ago and decided to leave it in the Prudential pot. Wow! I am so glad I did my pot increased substantially over the time I left it.
Leaving your Pension pot investment with the pension provider is a lot better than trying to earn more through Stocks or Isa's. And remember once you take the money out it can affect your Tax payment For those who like Welsh Mountains and narrow boats have a look at my videos and photos at.. http://www.youtube.com/user/conwy1 |
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16th Jan 2020 2:38pm |
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| Swine&Small Member Since: 20 Mar 2017 Location: Norfolk Posts: 1223
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Although you can usually take 25% tax free, the remainder may incur a tax charge, possibly pushing you into a higher tax bracket. The withdrawal, if this is your choice , does not have to be all at once, it can be spread over several years depending on your own personal circumstances
Do nothing in haste.  1983 Series 3 Pick up in Marine Blue
1967 Morris Traveller 1966 Morris Convertible 2012 VW T5 Camper Quod Abundat Non Obstat. |
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16th Jan 2020 5:36pm |
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| seriesonenut Member Since: 19 Nov 2014 Location: Essex Posts: 1211
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Hi Have a look here.
https://www.pensionwise.gov.uk/en You can make an appointment to speak to an advisor. I called last year and got some really good unbiased advice. 2010 XS USW
1957 Series One 88 diesel 1958 Series One 88 4x2 |
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16th Jan 2020 6:33pm |
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| Slideywindows Member Since: 09 Sep 2016 Location: North Essex Posts: 1283 
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Is this your only pension fund, or do you have others?
Will you be relying on this and the State pension when you retire? Or is it money you can play with? Very difficult for amateurs to advise, especially with the limited info you've given. If this money really matters, get an initial, probably free, consultation with an IFA. Or if you think there is any possibility of a divorce in the future, spend the blxxdy lot before she gets her hands on it! (Ask me how I know.......) |
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16th Jan 2020 8:29pm |
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| Joe the Plumber Member Since: 18 Dec 2013 Location: Midlands Posts: 907 
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My wife decided to take her pension pot at 55 a few years back. Here it is (the green one):
 Click image to enlarge Of course this may not be a suitable thing for you to do with yours, but don't forget you've still got to live long enough to take your pension, so you might want to enjoy it now rather than die rich.... Just a thought. |
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16th Jan 2020 8:29pm |
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| andydef90 Member Since: 09 Feb 2015 Location: yorkshire Posts: 617 
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just to be clear I have a work pension as well witch is doing ok I have been paying in 29 years as for a divorce
who knows but have been bitten once before 66k . it may be best left where it is if I ever need the money its there its not grown much this year but has in the past . thanks for your advice everyone its apricated  |
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17th Jan 2020 10:46am |
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| AMBxx Member Since: 24 Jul 2016 Location: York Posts: 1032 
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This might help: https://www.pensionsadvisoryservice.org.uk...h-lump-sum
Personally, I'd transfer it into a cheap SIPP, then into global tracker, but depends what other investments you have. |
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17th Jan 2020 12:25pm |
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| MartinK Member Since: 02 Mar 2011 Location: Silverdale (Lancashire/Cumbria Border) Posts: 2665 
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Agree with AMBxx
Assume it's a defined benefits pension you have? They should be able to tell you what you can take as cash (i.e. the 25% you suggest) and then what to do with the rest Sounds like I have one similar to yours. I just has an Advisor look at it, and mine's best just taking the annual pension, the sums for moving the DB pension, or taking the lump sum just don;t add-up. With DB pensions, I guess it basically depends how long you intend to live once you start taking the pension!!!!! My Dad retired mid-50's and still on DB pension at 89 - he definitely had his money's worth Many don;t last that long, so the DB providor cashes-in as it is limited on it's value after your death (a spouse can usually get 50% of the annual value but that's about it!) Defender "Puma" 2.4 110 County Utility (possibly the last of the 2.4's) |
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17th Jan 2020 1:20pm |
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| Swine&Small Member Since: 20 Mar 2017 Location: Norfolk Posts: 1223
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My own choice was a drawdown pension. I take as little or as much as I require each year within , of course, the parameters of the fund and your optimism on life expectancy.
I have been doing this since 1996 when I retired. It is a more risky than an annuity but even allowing for the financial crash of 2007/9 , I still have a pension pot of more than twice what I started with in '96. It all depends upon your ability to manage a SIPP, have a decent fund manager and your ability to weather the inevitable setbacks and not to be panicked by short term corrections. Good luck with whatever you choose 1983 Series 3 Pick up in Marine Blue
1967 Morris Traveller 1966 Morris Convertible 2012 VW T5 Camper Quod Abundat Non Obstat. |
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17th Jan 2020 2:45pm |
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