Small fund cashback

superglue922

I read that pre "A" day if you had small pension funds worth less than £2,500 you could claim the cash back. I applied to my company in March for refund of 2 small funds (£850) and they have now come back to me and said this wasn't true. Does anyone know where I can find the info as I want to persevere with it. Many thanks

dunstonh

Trivial commutation is when ALL of your pensions fall under 1% of the lifetime allowance. The lifetime allowance is 1.5mil this year making the amount allowable for trivial commutation £15,000.

It's possible that your pensions were reviewed in March and not post 5th April and were looked at under the old regime.

EdInvestor

Old and new trivial commutation rules explained here

superglue922

Thanks for the speedy replies. As far as I can see because my company had no agreement to refund the cash I am now stuffed. What's worse is the fact that companies may not offer an annuity with less than £5,000 in the pot. Am I right in thinking that under the new rules I will be able to cash this in when I reach 60?

dunstonh

Am I right in thinking that under the new rules I will be able to cash this in when I reach 60?

correct. Remember though it is all of your pensions that are considered. Not just individual ones.