Any point waiting for my birthday?

WatlingA5

I'm 75 in a few months and have one small pension (a short-lived SERP With-Profit set up when I worked for a firm with no scheme, then set one up a few months later). A "retirement benefit illustration" shows estimated value of less than £800 which I intend to take as cash. No bonuses have been added for some years but there is the prospect of a terminal bonus, though that is not guaranteed.

Is there anything to be gained by waiting four months for my birthday, or should I just take it now?

atush

If no MVA is currently in effect no.

but should you pop off your clogs on your bday befoe you claim it, your beneficiary would be charged tax to take the sum. Whereas if you popped off now, they would not.

dunstonh

Depends on what type of pension income you are going to use. Some annuity providers do use actual age attained. Some price their annuity in monthly intervals (i.e. 74 and 3 months will be priced differently to 74 and 6 months). Some use other intervals such as quarterly or half yearly.

If there is an MVR then this is not applied on scheme retirement age. If there are guaranteed annuity rates or other forms of guarantee linked to scheme age then these only apply at attained age.