SERPS....what does that mean?

MrsGJM

Many thanks for all your patience, comments and suggestions. As I said in my original post, I'm a financial imbecile, so combining pensions and the like have never been anything I would think about!

That said, my concern was that at some point I had signed up to something I didn't understand and was worried that after a full working life I wouldn't be entitled to a full state pension. At no point did I say that that would be my sole income and I didn't rise to the presumption that it would be. My query was answered and acknowledged with a smile and a thank you, with no reason for me to elaborate on my personal financial situation.

The point is this. I am financially secure and have no concerns about money when I do retire (aged 67, 12 years from now) However, health dictates that I won't be drawing a pension for long...So doesn't it make sense to cash in on a few thousand pounds, that will make very little difference to my retirement pot, and splash out on a cruise for my 60th birthday??

jamesd

You could do that. It might also be possible to retire now and given COPD some might consider that to be desirable. It's up to you whether you want to discuss more of your situation to help to evaluate how viable that is.

xylophone

You don't have to wait to retire until you reach SPA - it is simply that you cannot draw your state pension before that age.

It is likely that you can access the HSBC pension now - 25% tax free and the balance taxed as income.

It may be possible to access your workplace pension from the time you choose to stop working.

MrsGJM

Jamesd, xylophone... Thank you for your responses. Fortunately...or unfortunately.... I live mortgage free with money in the bank, because of inheritance. I work because I want to, not because I have to. The idea of retiring scares me rigid, hence my comment " I shall probably just work til I drop"!

My initial question was based on the fact that I've worked all my life and I thought maybe an uneducated decision in my younger days would impact on the benefits of that, as I really have no understanding of pensions and such things.

The idea of cashing in a fund that I had no "physical" input to, and spending it on something totally fun and frivolous appealed to me....but not at the expense of my state pension.

I have no idea how the future will pan out.... But I AM going to have a ball for my 60th!!

missile

MrsGJM wrote: »

...... I have no idea how the future will pan out.... But I AM going to have a ball for my 60th!!

Hope you have a ball today and every day :beer:

bigadaj

xylophone wrote: »

You don't have to wait to retire until you reach SPA - it is simply that you cannot draw your state pension before that age.

It is likely that you can access the HSBC pension now - 25% tax free and the balance taxed as income.

It may be possible to access your workplace pension from the time you choose to stop working.

And of course many people don't retire at and beyond state pension age.