Cashing in small pensions

jamesd

Correct, you can't. Unless you divorce, then it is possible as part of a divorce settlement. That might normally be regarded as undesirable, though.

Balancing pensions isn't always appropriate. Say if one gets higher rate tax relief or can use salary sacrifice and the other doesn't. In that situation the best option would normally be for them to pay in as much as possible then at age 55 or older take a tax free lump sum and give that to the spouse. That way they have maximised the value to the household of the tax and NI relief available.

newbiesaver55

Thank you that's helpful.