Transfer ISA to a SIPP?

ElephantBoy57

I currently have a HL ISA with shares the the value of £7,000

HL advertise perks for transfering a pension to a SIPP, can I transfer my ISA to HL or another company?

Would there be more fees involved, if I had both an ISA ans a SIPP? I am 59 and I dont have a definate plan of when to retire. I would like to keep working, to keep busy. But if my funds exceded my £17k salary I my cease work. I also have 7 years and £24k left on my mortgage.

I have a WYPF which if drawn today would be worth £5k per year, I am still working and paying in.

AlanP_2

You can't transfer an ISA into a SIPP.

You can sell the assets and withdraw the cash from the ISA and then contribute that to a SIPP providing you have the relevant income to cover the contribution. 

ElephantBoy57

AlanP_2 said:

You can sell the assets and withdraw the cash from the ISA and then contribute that to a SIPP providing you have the relevant income to cover the contribution. 

I have not had the ISA that long, around 5 years, but I wasnt thinking of retirement and unsure on how a SIPP worked compared to an ISA.

I am assuming that share trading costs and platform fee are very similar. As I am over 55 I can treat a SIPP like a bank account and withdraw monies as and when I wish.

Dazed_and_C0nfused

Don't forget if you have sufficient pensionable earnings to be able to contribute to a SIPP you can immediately turn that £7,000 into £8,750 once the pension company adds the basic rate tax relief.

25% can be taken as a TFLS and the balance is taxable income.

dunstonh

There are some platforms that can allow you to transfer from an ISA to a SIPP.   However, all they are doing is the automating the manual steps required.  i.e. sell the investments in the ISA, transfer the money to the cash account then transfer it again to the pension, rebuy the investments in the pension.

ElephantBoy57

Dazed_and_C0nfused said:

Don't forget if you have sufficient pensionable earnings to be able to contribute to a SIPP you can immediately turn that £7,000 into £8,750 once the pension company adds the basic rate tax relief.
25% can be taken as a TFLS and the balance is taxable income.

Yes, that is what I have recently realised. Looks like I will have to do the process gradually, not buy anymore shares within my ISA and sell when the time is right.

barnstar2077

ElephantBoy57 said:

AlanP_2 said:

You can sell the assets and withdraw the cash from the ISA and then contribute that to a SIPP providing you have the relevant income to cover the contribution. 

I have not had the ISA that long, around 5 years, but I wasnt thinking of retirement and unsure on how a SIPP worked compared to an ISA.

I am assuming that share trading costs and platform fee are very similar. As I am over 55 I can treat a SIPP like a bank account and withdraw monies as and when I wish.

When you say share trading, do you mean that you buy shares in individual companies in your ISA at the moment?  Most people on here would recommend buying funds or ETFs until you have a certain level of knowledge.  Personally I plan on keeping some Vanguard funds as my backbone and then dabbling in shares at a later date, using a small percentage of my overall pot. 

ElephantBoy57

barnstar2077 said:

When you say share trading, do you mean that you buy shares in individual companies in your ISA at the moment?  Most people on here would recommend buying funds or ETFs until you have a certain level of knowledge.

Yes, I buy individual shares. I did buy a unit trust about 30 years ago, but I decided its more interesting to buy individual shares.

I have bought a few shares which crashed and were taken over. I had shares in Skypharma which were taken over by Vectura. I am hoping to sell them soon and hoping that I havnt lost, or at least not too much. I have had share in two companies that went bust, but I have also had shares in numerous companies that increased by 30% in less than 24 months.

I dont know if or how much I have gained over the last 25 years, but if you wait long enough, most shares will increase. I have shares in ten companies at the moment, when any of them are in profit by 20%/30% then I will sell and buy another.

barnstar2077

As long as you are happy I guess.