Paying £2880 into pension when retired

bioboybill

Well my wife got the £720 added to her £2880 today as per the schedule on the HL website. She has sent back the risk forms and they also received her request for withdrawal of the £2600 this morning according to Royal Mail Track and Trace. They told her that the request for withdrawal has to be received 10 working days before April 5th (tomorrow) to get the payment made this tax year.

I am doubtful whether it will be on a desk getting sorted by tomorrow, but 2 weeks does seem to be a long wait when you consider that faster payments are pretty much instant these days. Does anybody have experience of getting it sorted faster with HL?

skycatcher

bioboybill wrote: »

Well my wife got the £720 added to her £2880 today as per the schedule on the HL website. She has sent back the risk forms and they also received her request for withdrawal of the £2600 this morning according to Royal Mail Track and Trace. They told her that the request for withdrawal has to be received 10 working days before April 5th (tomorrow) to get the payment made this tax year.

I am doubtful whether it will be on a desk getting sorted by tomorrow, but 2 weeks does seem to be a long wait when you consider that faster payments are pretty much instant these days. Does anybody have experience of getting it sorted faster with HL?

I would phone them or send a secure message. I have used the secure messaging system often to ensure staff fully undrstand what I am requesting and have found them to be proactive in reacting to them!

vixen1500

Received in info pack from HL this morning

As tax relief wont be paid until 21st April, when I withdraw it will be in the 2019/20 tax year.

OH has two pensions already but nolonger paying into either.

So quick question

Can you take out the 25% tax free and also pay into a SSIP for the tax relief in the same year.?

Thanks

jamesd

Yes.

You can also take out money now without waiting for the tax relief, then take out the tax relief money when it arrives. Subject to the usual HL rules on account balances.

vixen1500

jamesd wrote: »

Yes.

You can also take out money now without waiting for the tax relief, then take out the tax relief money when it arrives. Subject to the usual HL rules on account balances.

So I could withdraw £1880 in this tax year (leaving in the required £1000) and then make a second withdrawal of the tax relief.


Must remember next year to pay in before Feb and the I wouldn't have this problem

Thanks

ukdw

vixen1500 wrote: »

So I could withdraw £1880 in this tax year (leaving in the required £1000) and then make a second withdrawal of the tax relief.


Must remember next year to pay in before Feb and the I wouldn't have this problem

Thanks

Interesting. I wonder what the minimum time you need to leave the money in HL to trigger the tax relief? - 1 day?

Also why wait until Feb 20 to pay in next years - how about Apr 19 instead (potentially partially funded by the £1880 initial withdrawal)? that way you will get next years £720 up to 10 months earlier and you could withdraw this years tax relief at the same time.

bioboybill

skycatcher wrote: »

I would phone them or send a secure message. I have used the secure messaging system often to ensure staff fully undrstand what I am requesting and have found them to be proactive in reacting to them!

That's exactly what I did and they confirmed yesterday evening that the withdrawal would be made by faster payment on Monday 25th, so all sorted and happy.:j

jamesd

ukdw wrote: »

I wonder what the minimum time you need to leave the money in HL to trigger the tax relief? - 1 day?

The moment your payment arrives and is accepted is sufficient to trigger eligibility. I don't know how long HL systems need before they can handle drawing on the money but hours seems likely to be enough.

jerrysimon

ukdw wrote: »

Also why wait until Feb 20 to pay in next years - how about Apr 19 instead (potentially partially funded by the £1880 initial withdrawal)? that way you will get next years £720 up to 10 months earlier and you could withdraw this years tax relief at the same time.

I like this. I have just paid in my £2880 for this year and I guess if I do it again after April 5th as you say I will have access to two lots of tax relief to put pack into my Santander account to earn some interest :T

vixen1500

ukdw wrote: »

Interesting. I wonder what the minimum time you need to leave the money in HL to trigger the tax relief? - 1 day?

Also why wait until Feb 20 to pay in next years - how about Apr 19 instead (potentially partially funded by the £1880 initial withdrawal)? that way you will get next years £720 up to 10 months earlier and you could withdraw this years tax relief at the same time.

No, your right, there is no reason to wait.


Going to sort one out for OH also, :T