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SERPS and taking my 25% question

losgiganteskid
losgiganteskid Posts: 965 Forumite
Part of the Furniture 500 Posts
in Pensions, annuities & retirement planning
I know I can take 25% out of my serps pension pot as a tax free lump sum - do I then have to take the rest immediately as an annuity or can I leave the remaining 75% to rise and fall with the stock market ? and ake the balance as and when required

Comments

  • dunstonh
    dunstonh Posts: 120,273 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    With an appropriate contract, you can take the 25% without taking an income.
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • EdInvestor
    EdInvestor Posts: 15,749 Forumite
    They are hard to find at the moment unless you pension is large, because PR money is not yet allowed in Sipps - that's the usual way these things are done.

    This will hopefully change at the end of the year.
    Trying to keep it simple...;)
  • dunstonh
    dunstonh Posts: 120,273 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    The Govt has put off the decision on protected rights in SIPPs again.

    It is possible with a personal pension or fund supermarket pension though. Not hard to find if you have research data available.
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • EdInvestor
    EdInvestor Posts: 15,749 Forumite
    Latest news is that the decision will be made as soon as the annuity inquiry is over, expected at the end of the year, so that just confirms what we already new.The new thing is they have taken a power in the Finance Bill so the changes can be made on the spot, without needing further legislation.

    The Treasury is happy about this change, and the industry is dead keen ( not to mention the public), so looks like they are just waiting for the DWP to adjust to losing a part of their fiefdom.

    http://www.ifaonline.co.uk/public/showPage.html?page=ifa2006_articleimport&tempPageName=437783
    Trying to keep it simple...;)
  • gericom10
    gericom10 Posts: 34 Forumite
    dunstonh wrote: »
    With an appropriate contract, you can take the 25% without taking an income.

    as with the question, I wish to take 25% from my NU personal pension, but what is an appropriate contract?
This discussion has been closed.
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