Pension Company Advised not able to draw down

aayush

HI
I have been advised I can take the full amount but will need to pay tax on the balance after taking 25% tax-free why is the company been so difficult and if want to transfer will charge me
any ideas best for me

SeniorSam

Without knowing which company, perhaps some companies do not have the facilities for Drawdown. Not a problem, contact another platform and transfer to them. Then you can arrange whatever drawdown facility you need.

tacpot12

How much will they charge you to transfer out?

Albermarle

I have been advised I can take the full amount but will need to pay tax on the balance after taking 25% tax-free

Can you just clarify:
Do you want to take the 25% tax free and leave the 75% invested , to be taken later ?
OR do you want to take 100% of the pension now ?

AnotherJoe

aayush wrote: »

HI
I have been advised I can take the full amount but will need to pay tax on the balance after taking 25% tax-free why is the company been so difficult and if want to transfer will charge me
any ideas best for me

If you transfer to Hargreaves Lansdown at the moment I think they have a deal going whereby they will pay the transfer fees. As per post above you need to provide more info on what exactly it is you want to do, and also the amounts, in most cases taking all the money out in one go is the wrong thing to do.

Marcon

aayush wrote: »

HI
I have been advised I can take the full amount but will need to pay tax on the balance after taking 25% tax-free why is the company been so difficult Just because the can't do what you want doesn't mean they are being difficult - you are asking for something your type of pension contract doesn't permit and if want to transfer will charge me How much? Again, if that's the type of contract you have, all they are doing is sticking to the agreed terms
any ideas best for me

What's best for you? No idea with virtually no information.

xylophone

I have been advised I can take the full amount but will need to pay tax on the balance after taking 25% tax-free why is the company been so difficult and if want to transfer will charge me

You have a pension with a certain provider.

Are you saying that your provider does not offer drawdown (the ability to take the PCLS and leave the balance invested/take income as required)?

If they don't offer drawdown and this is what you require, then you will need to transfer to a provider that does?

What charge would be made to transfer out?

You are aware that any money withdrawn from the pension over and above the PCLS is taxable as income in the year of receipt?

https://www.pensionwise.gov.uk/en

You might want to book an appointment with the above?

aayush

Hi
1 )the charge around £1250 to do transfer
2) company is Phoenix
3) I want to take the tax-free amount and am aware the balance is taxable

AnotherJoe

And are you saying that Phoenix wont just let you take the 25% TFLS?

xylophone

https://forums.moneysavingexpert.com/discussion/comment/75727771#Comment_75727771

Is this the pension in question?

Phoenix will not permit you just to take the lump sum?

Or do you want to take the whole of the pension and pay any tax due on the "income"?

Will Phoenix permit this without penalty?

If you do this Phoenix will almost certainly tax the "income" on a month one basis which may well mean that you have not paid the correct amount.

https://adviser.royallondon.com/technical-central/pensions/benefit-options/emergency-tax-and-lump-sum-withdrawals/

If Phoenix cannot offer the options you require then you will need to transfer out.

Transferring to a provider who would meet the transfer fees would lessen the pain?

aayush

AnotherJoe wrote: »

And are you saying that Phoenix wont just let you take the 25% TFLS?

yes that right