After watching my retired neighbours pottering about in their gardens daily for the last seven years, I have decided to take a lump sum from my pension now - not a huge amout, while I am still fit and young enough to enjoy it. Has anyone done this and how long should it normally take to get paid out.
2007-09-20 01:05:29 · 2 answers · asked by Anonymous in Business & Finance ➔ Personal Finance
I assume you are over 50 and talking about the 25% Tax Free lump sum you can take when you Retire ?
Make sure you check the Pension Fund rules .. some places will insist you take an Annuity with the whole of rest of the fund immediatly .. so if you don't take the full 25% now you will never get another chance OR you will have to Transfer the entire Fund into a SIPP (Self Invested Pension Plan) and take personal control over it ...
Of course you will be Retiring early .. this will cut the actual pension annual payment .. in fact if you have only just turned 50 you may find the Pension is half what you would have got at 65 (this is because they have to pay out 15 years early .. and you are less likley to die now than when you are 65 ...).
2007-09-20 02:37:21 · answer #1 · answered by Steve B 7 · 0⤊ 0⤋
My grandparents did. As for time? It depends on the company you use.
2007-09-20 01:08:48 · answer #2 · answered by merrywaters 1 · 1⤊ 0⤋