POLL. How will you use new pension freedoms?

Triumph13

gadgetmind wrote: »

My wife will have two choices -
1) Take her pension tax free using personal allowances before SP kicks in and either spend excess or invest elsewhere.
2) Leave pension alone, spend other monies, don't continue to invest, and then draw pension after SP when it will be taxed.

I think that (1) makes more sense for her.

I have the same two choices, to either drawdown heavily before SP using 0% and 20% bands, or to leave it alone and face 40% tax on some pension drawdown after SP kicks in.

Again, getting the most out I can at lower tax rates seems like the best plan.

I couldn't agree more. This is where the new pension rules have been a real game changer for anyone retiring before SPA.

In my case I will have an extra consideration to work with that will make life more complicated - 2 kids at university. If the rules haven't changed by then, I will have to weigh up very carefully the pros and cons of using up all my 20% band vs keeping our taxable income to £25k to get the kids a full maintenance grant each.