Pension

hayleydaley

Posted on here recently about pensions, but here goes, I am 61 having retired. Sold house and down sized, so no mortgage. Mind you not had a mortgage for years 3 pension pots I have got. Should I take my money out now or wait til April . 1 large pot and 2 are small. Any advice or info
Thank you

Linton

Why do you want to take your money out? You could leave it where it is and take a regular income or buy an annuity. Do you have other income?

How big is big?

How much of the money do you want to take out? Any money you take out after the first 25% is taxed as income. If big is very big you probably wont want to get into higher rate tax.

For convenience you could merge the two small pensions with the big one.

We need to know more about what you have and what you want to get from it.

hayleydaley

One is 27000 pot not really big compared to what some others have.
2nd is 7000
3rd is 3000
They are rough amounts from the top of my head. None are earning any interest. So they stay the same amount. First pension has changed hands 2 times when I worked at the company was not happy with that. Want to do a bit of travelling before I get to old.

mgdavid

what are you using for living expenses now?
Have you worked out a budget for living costs in retirement?
what will you live on afterwards if you draw these pots and spend it travelling?
when are you eligible for New State pension? and how much will it be, just basic or enhanced under transitional arrangements?

hayleydaley

Sold my house. My needs arnot as great when I was working . So that money from house sale is in bank . I live on that for expenditure food bills . Pension not till mar 2017.

xylophone

Are you on state benefits of any kind?

You mention "interest" - pensions are not deposit accounts and don't earn interest - they normally increase/decrease with investment performance unless you have a deferred Defined Benefits pension from a previous employer which will revalue in deferment according to certain rules.

What kind of pensions are these?

Re new state pension https://www.gov.uk/new-state-pension/overview