Drawdown and State pension

gadgetmind

STILTON wrote: »

I have also searched the net but cannot find any comment on this.

See "Other changes" here.

https://www.moneyvista.com/guides-tools/retirement-pensions/how-the-state-pension-is-changing/

Similar section at the bottom of here.

http://www.telegraph.co.uk/finance/personalfinance/pensions/9802093/Flat-rate-pensions-the-changes-explained.html

And here.

http://www.monteaths.com/ard/enews_article.asp?ID=3454&AID=1130&CID=1

I still think your plan is solid but don't expect deferred SP to accrue additional income as quickly.

jamesd

There's also mention in the plans of the accrual rate from deferring not yet being decided but maybe being lower. That could cause it not to be a good option. Depends on the rate. But those who reach state pension age before a new plan is introduced should keep the old rules. Maybe.

STILTON

Thanks guys for the info on SP changes re deferral.
Its a bit annoying that the gov. pension advice person only knew about the change to the weekly amount.
It seems very likely the accrual rate will drop if interest rates remain at their very low percentage.
Fingers crossed they keep rate if already deferred.

saintalan

STILTON wrote: »

...

My plan A, as I said is to drawdown into ISA cash and S&S until exhausted and then close the flex draw acct, then draw SP. Therefore I can have full freedom and flexibility of my cash etc.
If lifestyle allows I can then feed into another pension etc for more tax relief.
Even think about an annuity, heaven forbid !

Hi. I was just going through this thread as some of the aspects are relevant to my situation.

I think that once a Flex Drawdown has commenced then no further pension savings are allowed at least not with any TR or TFLS.

Thanks, good thread.

Alan

STILTON

Hi saintalan,

After speaking to my SIPP provider, if I exhausted and closed my flex draw I am then back to basics and can then start contributions into another pension again.
As I am retired I can only save into a pension about £3600 /year the tax gain is not worth the effort. as "jamesd" also stated
regards all.