frozen pension

confusedaboutit_all

I have 2 old frozen pensions from my old employment last paid into in 1998.I am 55. have received paper work to fill in but totally confused.I have a pension with present employment it wont allow me to transfer these pensions into this fund. is it best to cash these in?

hyubh

confusedaboutit_all wrote: »

is it best to cash these in?

Probably not. What sort of pensions are they, or at least, who are they with?

brewerdave

1. You can't "cash" them in unless you were contributing to them for less than two years.
2. Always a bad idea to cash anyway because you will pay tax on the cash AND will only get your own contributions back,not those made by the employing Company.

dunstonh

I have 2 old frozen pensions from my old employment last paid into in 1998.

Are you sure they are frozen? This tends to only apply to a very tiny number of pensions going back much older than the years you mention.

is it best to cash these in?

You cant. So, that is not an option for you.

getting_confused_2

I had something similar. Two old pensions each with about £1000 contribution in them. Couldn't cash them because my overall pension pot exceeded the limit. Wasn't worth trying to move them because they were so small. I was told if I had made arrangements before I took my main pension I could have transfered them in - but I didn't. Also wasn't allowed to amalgamate them. For each I took £250 tax free lump sum and an annuity. Interesting though because of the way they had been treated one of them - annuity set when I stopped paying, pays about £55 per annum. The other, annuity set now pays about £12 per annum.
My feeling is that if yours funds are as small as mine you have little choice - sorry I can't be more positive

dunstonh

getting_confused wrote: »

I had something similar. Two old pensions each with about £1000 contribution in them. Couldn't cash them because my overall pension pot exceeded the limit. Wasn't worth trying to move them because they were so small. I was told if I had made arrangements before I took my main pension I could have transfered them in - but I didn't. Also wasn't allowed to amalgamate them. For each I took £250 tax free lump sum and an annuity. Interesting though because of the way they had been treated one of them - annuity set when I stopped paying, pays about £55 per annum. The other, annuity set now pays about £12 per annum.
My feeling is that if yours funds are as small as mine you have little choice - sorry I can't be more positive

Today, both of those pensions could have been paid out as a lump sum (subject to tax) as they fall below the £2000 stranded pots rule.

xylophone

I have 2 old frozen pensions from my old employment last paid into in 1998.

See here for some information. http://tpas.amaze.com/workplace-pension-schemes/final-salary-schemes/revaluation
http://www.grove-pension-release.co.uk/frozen-pensions.asp

Remember that if you have a deferred final salary pension this is a valuable benefit.

Chris42L

I have 3 frozen pensions, 2 from previous emplyers and one personal one. I have not paid into any of these since ( the earlist one about 28 years, the personal one about 20 years and the last employer one at least 10 years ). I get regular updates on the personal and last employer pensions, but my original one from about 28 years ago I have no records of. I payed into the fund for about 3 years. Is there any way I could find out about the pension as the original company has been taken over at least once in the past 20 years ? My thinking is there is a fund sitting there with my name on it and will I get it when I retire ( not yet for at least another 20 years anyway ). Also does anyone know if I can merge all three together some how. I`m very confused.

xylophone

Is there any way I could find out about the pension as the original company has been taken over at least once in the past 20 years

https://www.gov.uk/find-lost-pension

See links above re "frozen" (which they almost certainly aren't if you mean they do not increase in deferment) - transfer to your current scheme or to a personal pension may be possible but whether it would be wise or not is a different matter - almost certainly not if Final salary/deferred benefit/carrying guarantees.

You could see an IFA with expertise in pensions if necessary - remember you will pay a fee for advice.http://www.unbiased.co.uk/

dunstonh

I have 3 frozen pensions, 2 from previous emplyers and one personal one.

They are unlikely to be frozen. Paid up or deferred is more likely.

Is there any way I could find out about the pension as the original company has been taken over at least once in the past 20 years ?

Yes. Ask the administrator for the current company for details. Make sure you provide past addresses, NI number, date of birth and a payroll number if you have that.

Also does anyone know if I can merge all three together some how

yes. However, whether it is worth it or not is a different matter.