Saving my pension

2014

Can some one please advise I receive my state pension this year. I wish to pop it into some sort of savings, any advise please ?

luvchocolate

Have you looked into deferring? and take a larger pension/lump sum later?

torbrex

2014 wrote: »

Can some one please advise I receive my state pension this year. I wish to pop it into some sort of savings, any advise please ?

As said, deferring is an option open to you but if you want access to the cash at some point, you might consider a regular savings account.

atush

If you want to save it, and dont' need it, defer it. At over 10%, that is better than any savings acct you can get.

jamesd

If you wait before claiming your state pensions they increase by 10.4% for each year you wait, pro-rated for parts of a year. It's one of the best deals around, far better than a savings account. For those in normal good health it's likely to be good for a man to defer for 1-3 years and a woman for 2-5 years.

kidmugsy

jamesd wrote: »

If you wait before claiming your state pensions they increase by 10.4% for each year you wait, pro-rated for parts of a year. It's one of the best deals around, far better than a savings account. For those in normal good health it's likely to be good for a man to defer for 1-3 years and a woman for 2-5 years.

It is a wonderful deal. If you change your mind, however, and want a lump sum instead of an extra pension, then as long as you have deferred for at least a year you can do that instead. They pay a compounding interest rate of 2.5% p.a. on that.

http://www.seniorsdiscounts.co.uk/articles/the-pros-and-cons-of-deferring-your-state-pension

http://www.ftadviser.com/2011/10/20/pensions/personal-pensions/how-long-should-you-defer-u8r1oXt2plic1neo2MAG3J/article-0.html

https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/210220/DWP024.pdf

2014

Thanks for replies.