Section 32 Buyout

6toes

Hi

Can anybody help so i can make a sensible judgement.

I have an element of a pension in a section 32 buyout pension.

This was created when we changed the pension provider. This is attracting a 1% management fee but the pesion pot i now contribute to attracted just a 0.5% managment fee.

How can i satisfy myself that it is right or wrong to transfer away from the section 32 into a Group Personal Pension plan? How do i calculate the mumbers to see what the implications are and what information would i need to calculate this - when i entered, when it was created, salery etc . Once i have this information is there a web site i can drop it into to see what the numbers look like.

Thanks

6toes

dunstonh

How can i satisfy myself that it is right or wrong to transfer away from the section 32 into a Group Personal Pension plan?

Fairly easily. You assess the GMP entitlement and check to see if there are guaranteed annuity rates. If there either of these then you factor that into your comparisons. S32s also have the potential for greater tax free lump sums (or less in some cases).

Once i have this information is there a web site i can drop it into to see what the numbers look like.

No. You either need to calculate manually or use an adviser to do it for you.

xylophone

http://www.financialadvice.net/s32_buy_out_plan/zone/1288
Might be worth a look - the receiving scheme might well insist that you consult an IFA concerning the proposed transfer.

http://www.unbiased.co.uk/