Pension drop story...

System

Thanks.
I do take your point that commercial property might be risky, at least if absolute certainty of income is required.( There are special circumstances in this case. The premises are those of the company, making employer in-specie contributions to two directors. Both the on-going company and the two SIPPs would be safeguarded by a lease. The IFA and pension company seem to have that side worked out.)

It's the GAD implications I was wondering about. Can it really be the case that it is possible to have too much in a pension pot?

Paul_Herring

Clifford_Pope wrote: »

It's the GAD implications I was wondering about. Can it really be the case that it is possible to have too much in a pension pot?

Bear in mind that the GAD limits only apply to capped drawdown (or 'unsecured pension income' as DH informs us it's called this week) - if you have secured pension(s) of (currently) £20,000 from other sources (including state pension) then the GAD limits don't apply to any other funds you may have.

See http://www.invidion.co.uk/pension_fund_withdrawal_calculator.php and look for the section 'From April 2011, there is now one form of income withdrawal which is known as 'Drawdown Pension'. The main points are:.'

The term they use is 'flexible drawdown' in that page and on http://www.invidion.co.uk/pension_fund_withdrawal.php