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Pension Credit and cashing in pension

How does cashing in a pension under 'triviality' rules, effect Pension credit?

TIA

Comments

  • mania112
    mania112 Posts: 1,981 Forumite
    Part of the Furniture Combo Breaker
    It falls under the category of 'if your circumstances change, please call us'.

    The extra income you'll receive from Triviality is something that needs to be considered for Pension Credit.

    To find out how much specifically, Telephone: 0800 99 1234. They will need to know how much income you'll receive from the pension.
  • Berthe
    Berthe Posts: 6 Forumite
    Part of the Furniture Combo Breaker
    Apparently in 2006 a friends husband cashed in a small pension under these rules and how much he got is unknown as he died. There were no other savings to take into account.
  • dunstonh
    dunstonh Posts: 120,314 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    Its a good question and not one I can answer without looking it up but the trivial payment increases the income in that tax year. So, generically, it could impact but it may be something that is disregarded by the benefits office.
    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.
  • atush
    atush Posts: 18,731 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    Berthe wrote: »
    Apparently in 2006 a friends husband cashed in a small pension under these rules and how much he got is unknown as he died. There were no other savings to take into account.

    your friend would know, as she would have had access to his bank accounts after his death and could see how much it was?
  • Berthe
    Berthe Posts: 6 Forumite
    Part of the Furniture Combo Breaker
    The bank statements she has don't go back that far....
  • mgdavid
    mgdavid Posts: 6,710 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    copies should be obtainable from the bank for a small fee. Why has an issue arisen now, some 7 years later? Was there a will, and if so who were the executors?
    The questions that get the best answers are the questions that give most detail....
  • If he had an Assessed Income Period for the pension credit, then it would make no difference at all until the end of the AIP. If he didn't have an AIP then he should have notified the Pension Service, but as long as the couple's total capital was under £10k it would not have made a difference to the calculation of pension credit entitlement.
  • mgdavid wrote: »
    copies should be obtainable from the bank for a small fee. Why has an issue arisen now, some 7 years later? Was there a will, and if so who were the executors?

    Because for some reason there was a fraud investigation and the DHSS couldn't get the info from the company concerned...this info has now been found by using an IFA who did it as a favour. However all the info is just that it was cashed in and when, no amount.....
  • atush
    atush Posts: 18,731 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    Have her contact her bank
This discussion has been closed.
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