25% TFLS from SIPP - how does it work?

dunroving

NoMore wrote: »

Think of it that you have saved £2250 by it not being invested during the loss. You can always re invest it as you aren't taking it as part of the TFLS

The power of positive thinking. I like it!

mark1959

AlanP wrote: »

No, just make use of pensions and other investment options.

It just isn't clear to me what the hoops are - Sell some funds for cash, take 25% of overall pot value out tax free.

Every industry and every business has a process for delivering their goods and services, this is just the "access pension process" surely?

Out of interest what do you think would be a better process with less hoops?

Well how about a process where no hoops are put into place? Once you're verified as being who you say you are, free to draw out as little or as much as you want without needless complications and unnecessary pension jargon that most people simply don't understand. And as for "service". I'm served better at macdonalds.
The financial industry as a whole has not got a very good reputation, the pension industry is just adding to it.

redux

mark1959 wrote: »

Well how about a process where no hoops are put into place? Once you're verified as being who you say you are, free to draw out as little or as much as you want without needless complications and unnecessary pension jargon that most people simply don't understand. And as for "service". I'm served better at macdonalds.
The financial industry as a whole has not got a very good reputation, the pension industry is just adding to it.

For many schemes you more or less can draw out what you want at the moment, even the whole lot at once, but that may not be wise as you won't be insulated from taxation consequences on how much you have.

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