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Mortgage or Pension Pot?
smokey11
Posts: 6 Forumite
Hi
I'm looking for general advice here or perhaps an authoritative article that covers the issue. I'm 73, retired and comfortable living on a company pension and State pension. My wife and I have an outstanding mortgage of £100,000 with the term coming to an end in November. We're now looking for a new mortgage to pay off the balance.I also have a company pension pot of ca. £150,000 which I don't anticipate having to draw down any time soon. I can cash in 25% of this pot tax free and my question is, as a general rule of thumb, am I better off to cash in this £37k and apply it to my current mortgage, thus reducing financing required to £63k or leave it to accrue in the company pension at approximately 2.7% p/a?
Most grateful for any advice available and, again, if there are media articles which might cover this, I'd appreciate a reference. Thanks in advance.
Thanks
I'm looking for general advice here or perhaps an authoritative article that covers the issue. I'm 73, retired and comfortable living on a company pension and State pension. My wife and I have an outstanding mortgage of £100,000 with the term coming to an end in November. We're now looking for a new mortgage to pay off the balance.I also have a company pension pot of ca. £150,000 which I don't anticipate having to draw down any time soon. I can cash in 25% of this pot tax free and my question is, as a general rule of thumb, am I better off to cash in this £37k and apply it to my current mortgage, thus reducing financing required to £63k or leave it to accrue in the company pension at approximately 2.7% p/a?
Most grateful for any advice available and, again, if there are media articles which might cover this, I'd appreciate a reference. Thanks in advance.
Thanks
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