Never Buying an Annuity

jimbo101

Hi

I hadn't really been following the pension changes that Clegg etc proposed but I recently came across this.

millionpoundpension.com/2010/09/uk-pensions-are-changing-again.html

It looks as though you can now continue in Drawdown forever and your fund can pass on to your children less 55% tax rather than the current 82%. If this is right, then it must be good news!

bendix

Yet to be confirmed, but it looks increasingly likely that this will be the future which is - of course good news. Finally we have a government that treats us like adults, not children.

dunstonh

it is still under consultation and is coming in some form or another. There are a few threads on this already which you may wish to look at if you want more detail.

As you say, it is good news for some.

Velcro_Hotdog

Isnt the ulimited drawdown only avaliable if you can meet the min income requirement (MIR) which has to be a guaranteed income with 2.5% escalation built in? If thats the case and lets say MIR is set at 20k which is one of many figures I have heard then the unlimited drawdown is only going to avaliable to a very small % of people.

Velcro_Hotdog

Woops sorry my last post relates to flexible drawdown not capped so ignore it.