We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
The Forum now has a brand new text editor, adding a bunch of handy features to use when creating posts. Read more in our how-to guide
tax free lump sum
Nual
Posts: 179 Forumite
Hello pension experts
This may be a daft question but I cant get my head round it.
Friend has 2 DB pensions, same provider but different rules as different times. 1st one is worth approx 31k/yr, 2nd one approx 7k/yr.
If he decides to convert the 2nd one to a cash transfer value ( with IFA advice) at the same time as taking the 1st one as a DB pension, can he get the 25% tax free lump sum of both all applied to the 2nd pension ?
Hope that makes sense and thanks
This may be a daft question but I cant get my head round it.
Friend has 2 DB pensions, same provider but different rules as different times. 1st one is worth approx 31k/yr, 2nd one approx 7k/yr.
If he decides to convert the 2nd one to a cash transfer value ( with IFA advice) at the same time as taking the 1st one as a DB pension, can he get the 25% tax free lump sum of both all applied to the 2nd pension ?
Hope that makes sense and thanks
0
Comments
-
No. Each pension scheme is considered on its own.0
-
Ok thanks jamesd. Just to clarify - it is the same pension scheme for both DB pensions, but there is a gap in membership so two seperate quotes?0
-
Payment would be aggregated so one monthly payment from the provider rather than two seperate payments0
-
Payment would be aggregated so one monthly payment from the provider rather than two seperate payments
He has checked that a transfer out of the second portion is possible?0
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 353.6K Banking & Borrowing
- 254.2K Reduce Debt & Boost Income
- 455.1K Spending & Discounts
- 246.7K Work, Benefits & Business
- 603.1K Mortgages, Homes & Bills
- 178.1K Life & Family
- 260.7K Travel & Transport
- 1.5M Hobbies & Leisure
- 16K Discuss & Feedback
- 37.7K Read-Only Boards