Can I cash in my pension?

chrisgreen

i took out a private pension with pearl some years ago and through unforeseen circumstances had to freeze it,now at the age of 55 can i take the whole pension as a lump sum,its under 12000 pounds,and if i can how do i go about it?
the amount it will give me at retirement age(66) is trivial,so would not be worth holding onto as a pension.

dzug1

Do you have any other pensions - apart from state pensions?

chrisgreen

dzug1 wrote: »

Do you have any other pensions - apart from state pensions?

no,none,just this one.

dunstonh

chrisgreen wrote: »

i took out a private pension with pearl some years ago and through unforeseen circumstances had to freeze it,now at the age of 55 can i take the whole pension as a lump sum,its under 12000 pounds,and if i can how do i go about it?
the amount it will give me at retirement age(66) is trivial,so would not be worth holding onto as a pension.

Trivial payments option does not apply until age 60. So, your cannot take it as a lump sum until age 60.

atush

At age 55 you can take 25% tax free and an income from the rest.

If you want it as a lump sum, you'll have to wait until age 60.

But as a side note, what do you intend to live on in retirement if you get and spend this money now? Why aren't you continuing to work and pay money into a pension?

Planning to live on the state pension is planning to live on the bare minimum to survive.

chrisgreen

dunstonh wrote: »

Trivial payments option does not apply until age 60. So, your cannot take it as a lump sum until age 60.

ok,would i be able to transfer it into something worthwhile.

Linton

chrisgreen wrote: »

ok,would i be able to transfer it into something worthwhile.

It would be taxed as income and then the cash passed to you. Whether you do anything worthwhile with it is up to you

chrisgreen

atush wrote: »

At age 55 you can take 25% tax free and an income from the rest.

If you want it as a lump sum, you'll have to wait until age 60.

But as a side note, what do you intend to live on in retirement if you get and spend this money now? Why aren't you continuing to work and pay money into a pension?

Planning to live on the state pension is planning to live on the bare minimum to survive.

i have a major health issues that will probably kill me before i reach 66,and will probably force me to give up work before i am 60.
(degenaritive lung disorder)
planning to live on a state pension is not an option for me,i will be dead before then.

dunstonh

chrisgreen wrote: »

ok,would i be able to transfer it into something worthwhile.

You can transfer it to another pension if you feel the current pension is not suitable for you.

What makes you think the current pension is not worthwhile?

chrisgreen

dunstonh wrote: »

You can transfer it to another pension if you feel the current pension is not suitable for you.

What makes you think the current pension is not worthwhile?

1,i wont live to see it.
2,the last statement said £230 a year.
3, its frozen,so wont increase.
4,i would rather i have the money than lose the lot when i die.

i think my best option is to wait till im 60 and a none taxpayer and take the lump.