Pensions advise

manfred_3

Although I have been at the same company for 40 years, due to change of ownership I have 2 deferred final salary schemes.
My age is 55 and I could currently claim the 2 pensions and receive £34k lump sum and £5.2k / year pension.
I am still in full time employment and dont expect to retire until 65 if my circumstances remain as they are.
I dont need the money at present.
Should I leave them where they are or claim the money and invest it elseware.
Your advise would be appreciated as I know nothing about pensions or investments.

EdInvestor

What level of tax do you pay, now and in retirement?Would taking the taxable pension income push you into a higher rate band?

If not I would tend to take them (pensions in payment are a bit safer than those that are not, in case something goes wrong with the company) and save the money up in ISAs.First you'll get 10 years more money, and second the income from the ISAs will be tax free when you need it.

manfred_3

Hi Ed
Thanks for the reply
At the moment I earn £35k / year.

Not sure what tax rate I will be on in retirement, but wouldnt think it will be the 40%.