Money Purchase pension help please

duffs54

Help please
I have a small pension from when I worked at AMP Pearl, it is a money purchase scheme, it has only £8200 in it as I only worked there for a couple of years, Now it says I can take my pension at 55 I am 59 in Dec this year.

I rang to ask if I can cash this one in and was told I could until she saw it was a money purchase scheme, she said I might not be able to as it has to reach a certain amount before I can claim, She didn't know the amount but is looking into it for me. She also said that if it hasn't reached the amount by the time I retire at 60 then the company make up the shortfall.

Has any one any idea what the ceiling is on this please?

cheers

GhIFA

It sounds like it has a guarantee built in at the normal retirement date. (Could be a number of things, such as a guaranteed value at retirement). They will make up the difference if the guarantee hasn't been achieved at that point. However, if you take it early they won't make up the guarantee and you will lose it. Sounds like you'd be best leaving it to age 60.

atush

Is this you only pension? If at age 60, the total (incl the guarantee) is less than 18K you can take it as a lump sum under triviality rules.

But you'd need to wait and see how much it is when you are 60.

duffs54

Yes I have 2 other pensions, not brill but worth a bit more, so I am over the 18k ceiling for taking cash.

I will wait and see if they will top it up when I'm 60

Thank you