Transferring a Pension

edited 30 November -1 at 1:00AM in Pensions, Annuities & Retirement Planning
41 replies 2.9K views
Tammy2Tammy2 Forumite
284 Posts
Debt-free and Proud! PPI Party Pooper
I have an old group pension plan with my last employer. I have made no contributions to it since I stopped working for them 13 years ago.

It isn't worth much, around £14K. Is it always possible to transfer a pension? There is nothing in the provider's FAQ sections about how to transfer. But it does give a figure called 'Your Transfer Value'. So, I guess it is? :/

I'd like to move it if possible. Any suggestions for private pensions? I'm mid 40s and willing to go for a medium / high risk option as, tbh, the sum is so low, I feel I've not much to lose!
To Do 2015
Claim back PPI & packaged bank account fees
Take (further) first steps in investing (S&S ISA)
Start saving for the children
Start a business
+ £2015 in 2015 from home / £5026.21
«1345

Replies

  • bemebeme Forumite
    5 Posts
    Hi


    I work for a pension provider. You will have no problem transferring this to another provider. Due to the amount of the pension plan I would say a low cost SIPP will be good for you. There is a huge range of providers all very similar. I would simply google low cost SIPP providers and give them a call with your group pension plan details that you want to transfer. With your SIPP you can the decide how much to invest and where etc so will have full control. Many low cost SIPP providers also offer online access so that you can which is very handy.
  • LintonLinton Forumite
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    You transfer a pension by going to the receiving pension manager and asking them to do a transfer-in. Much like transfering an ISA.

    Whether it's sensible to transfer a pension depends on the Ts&Cs of the 2 pensions. Typical factors include guarantees which you may not want to lose, charges, and range of funds. You may want to check particularly carefully if the old pension is either a Defined Benefit pension or invested in a With Profits fund. Why do you want to transfer?

    Are you paying into a pension at the moment? Quite often the easiest and best approach is to transfer into your current employer's scheme.
  • Tammy2Tammy2 Forumite
    284 Posts
    Debt-free and Proud! PPI Party Pooper
    Thanks beme / Linton.

    No, I'm not paying into a pension. Once I transfer I will consider (modest) regular payments. Just want to make sure I make the most out of the little I have.

    I will have a good look at the T&Cs and into low SIPPs. :)
    To Do 2015
    Claim back PPI & packaged bank account fees
    Take (further) first steps in investing (S&S ISA)
    Start saving for the children
    Start a business
    + £2015 in 2015 from home / £5026.21
  • jamesdjamesd Forumite
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    It doesn't really seem that a SIPP is what you need, a normal personal pension would probably be cheaper and it seems unlikely that you would use the additional investment options that a SIPP offers.
    Tammy2 wrote: »
    I'd like to move it if possible. Any suggestions for private pensions? I'm mid 40s and willing to go for a medium / high risk option
    But I'm puzzled. You don't really seem to be after moving the pension provider but seem more interested in changing investments. Why not just change investments within the current pension instead of moving?
  • Tammy2Tammy2 Forumite
    284 Posts
    Debt-free and Proud! PPI Party Pooper
    I didn't even realise that was an option, lol. I will look into that as well, thank you.

    2015 is the year I need to (finally) get on top of my finances. I've a lot to learn! :blush:
    To Do 2015
    Claim back PPI & packaged bank account fees
    Take (further) first steps in investing (S&S ISA)
    Start saving for the children
    Start a business
    + £2015 in 2015 from home / £5026.21
  • PeacefulWatersPeacefulWaters Forumite
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    Are you employed at present?

    What pension arrangement does your employer offer, and is there a good reason for not contributing?
  • Tammy2Tammy2 Forumite
    284 Posts
    Debt-free and Proud! PPI Party Pooper
    Hi,

    No, I'm a stay at home mum. I left work 13 years ago to home educate my daughter (she had a few problems) and haven't been employed since.
    To Do 2015
    Claim back PPI & packaged bank account fees
    Take (further) first steps in investing (S&S ISA)
    Start saving for the children
    Start a business
    + £2015 in 2015 from home / £5026.21
  • LHW99LHW99 Forumite
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    Make sure child benefit is claimed in your name, as that should give credits towards the state pension.
  • jem16jem16 Forumite
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    LHW99 wrote: »
    Make sure child benefit is claimed in your name, as that should give credits towards the state pension.

    I believe the child has to be under 12 for the parent to claim NI benefits now. That doesn't seem to be relevant for the OP now.
  • xylophonexylophone Forumite
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    https://www.gov.uk/new-state-pension/overview
    The OP might like to take a look?

    OP, are you receiving NI Credits?

    https://www.gov.uk/national-insurance-credits/eligibility
This discussion has been closed.
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