tax free lump sum advice please

nicter

Hi
I have turned 60 and am able to claim my nhs 1995 pension. I will get a tax free lump sum ( approx £17.000 ) plus monthly pension
I took out a private pension with the now Royal London while self employed some years ago which was frozen when joining nhs
This I can also take this year with an option of a tax free lump sum ( £5.000)
My question is if I claim both pensions this year are both lump sums tax free or will I pay tax on one of them ?
Thankyou in advance

HappyHarry

Both tax-free lump sums will be tax-free.

Do you need the Royal London tax-free lump sum now?

nicter

No Harry not necessarily but do need to replace my car ( 2nd hand) fairly soon.
Not sure what options to take at the moment.
I am taking nhs pension and cutting hours to 22 so will still have an income

GunJack

nicter wrote: »

No Harry not necessarily but do need to replace my car ( 2nd hand) fairly soon.
Not sure what options to take at the moment.

NHS lump sum=£17,000
cost of new car=£500
Balance= £16,500

no need to take the PP lump just yet.... you'll still have enough for another 33 new cars without it

OldBeanz

Ford Mustang 5L £35k approx. You need to find another £13k from somewhere.