Funding Gap Between Retirement & SP

edited 30 November -1 at 1:00AM in Pensions, Annuities & Retirement Planning
25 replies 2.7K views
westvwestv Forumite
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Just curious to know what people might choose for their gap fund:-

Remain fully invested as prior to retirement
Fixed term annuity for the gap
Escalating fixed term annuity for the gap
Other option


  • tacpot12tacpot12 Forumite
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    I'm funding mine with savings, a SIPP (in drawdown) and a couple of small DB pensions from old employers.
    The comments I post are my personal opinion. While I try to check everything is correct before posting, I can and do make mistakes, so always try to check official information sources before relying on my posts.
  • brewerdavebrewerdave Forumite
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    My DB pension offered an enhanced pension up to SPA -paid ~ £5k more until 65
  • MndMnd Forumite
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    I'm funding my gap with occupational pension and sending younger wife to work!

    We will fund her gap through her pension savings
    No.79 save £12k in 2020. Total end May £11610
    Annual target £24000
  • crv1963crv1963 Forumite
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    We're intending DB (me), SIPP to be placed in drawdown and Savings (wife).
    CRV1963- Light bulb moment Sept 15- Planning the great escape- aka retirement!
  • NoMoreNoMore Forumite
    474 Posts
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    Personally I don't see it as a gap as I'm not factoring it into my retirement plans.

    My gap is funding from 55 to 60 when my DB pension kicks in, currently loading up a SIPP and ISA's to do this, with intention to drawdown all of it over 5 years in a tax efficient manner.

    I will treat the SP as a 'bonus' when I claim it (may defer it for some years, not sure yet).
  • BimblyBimbly Forumite
    236 Posts
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    I'm saving into an additional DC pension offered by my employer.
  • AndyAdamsAndyAdams Forumite
    58 Posts
    I've not been fortunate enough to have a final salary pension so I have never seen myself tied to a retirement age. I just have a pot of money split between S&S ISA, Cash ISAs and SIPP. Once I think I have enough I will stop working or at least work less.
  • AnotherJoeAnotherJoe Forumite
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    Spending down SIPP (within taxable limits) and ISAs and unwrapped investments.
  • Paul_HerringPaul_Herring Forumite
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    Retirement (if before, as planned) -> 55 - ISA's and other savings.
    55-67 -> Surplus from above + personal pension
    67-> [if I get there] - Surplus from above + SP. If it's still around.

    In common with at least one post above, SP will be a 'nice to have' rather than 'something I'm depending on' - and have had that attitude for quite some years...
    Conjugating the verb 'to be":
    -o I am humble -o You are attention seeking -o She is Nadine Dorries
  • merlin321merlin321 Forumite
    32 Posts
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    2 yr gap to sp. So draw on mine and wifes modest db pensions. Take max dc pension up to tax free allowance. Mix of isa and cash savings.
    Oh and take advantage of the £720/yr free money from investing in sipp.
    (7 yrs to wifes sp!)
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