Transferring out of workplace pension am I able to rejoin?

RoadToRiches

Am I able to transfer out the value from my workplace DC scheme and if I do this can I then rejoin my workplace pension from zero.

MallyGirl

it varies - you need to ask your workplace pension administrator. Maybe term it as a partial transfer (even if it only leaves a pound in there) so that it isn't actually closed. I know some on here who do this as the workplace pension is limited in its investment choices

gm0

As MallyGirl says.  Your scheme may support partial transfer.  A choice for them and not an absolute right for you.  Supporting partial transfer admin cost (borne by all members) for a minority who want to collect contributions and then SIPP them for more flexibility is a "what to support" decision the trustees can say yes or no to vs the list of things they have to do to keep up with evolving regulation.

Of course they are obliged by (old) pensions legislation to offer full transfer out (and the associated termination of membership) but this is not useful where there is ongoing employment.

As an example - my scheme for a long time offered only full transfer. But now it offers partial.  Such a change may well wait for a reletting of a scheme admin contract over the cycle as this may make commercial sense for the trustees in a world of bid low, make it up on changes - outsourcing.

cloud_dog

RoadToRiches said:

Am I able to transfer out the value from my workplace DC scheme and if I do this can I then rejoin my workplace pension from zero.

Do you actually mean withdraw the money out of the pension wrapper?  If so, then no (unless you are of a certain age or have serious life limiting health condition).

Brie

There may be a waiting period before you are allowed to rejoin - assuming you are allowed at all.

RoadToRiches

cloud_dog said:

RoadToRiches said:

Am I able to transfer out the value from my workplace DC scheme and if I do this can I then rejoin my workplace pension from zero.

Do you actually mean withdraw the money out of the pension wrapper?  If so, then no (unless you are of a certain age or have serious life limiting health condition).

No not at all, I want to transfer the cash into a SIPP a DC to DC transfer in effect but from my current employers scheme with Standard Life.  I don't believe they allow for partial transfers, hence my question about re-joining after doing this.

Marcon

RoadToRiches said:

cloud_dog said:

RoadToRiches said:

Am I able to transfer out the value from my workplace DC scheme and if I do this can I then rejoin my workplace pension from zero.

Do you actually mean withdraw the money out of the pension wrapper?  If so, then no (unless you are of a certain age or have serious life limiting health condition).

No not at all, I want to transfer the cash into a SIPP a DC to DC transfer in effect but from my current employers scheme with Standard Life.  I don't believe they allow for partial transfers, hence my question about re-joining after doing this.

Check with your employer, or read the information you've been given (possibly a website link) to see.

Brie said:

There may be a waiting period before you are allowed to rejoin - assuming you are allowed at all.

Under auto-enrolment, the employer must allow employees to rejoin (if they are still eligible in terms of earnings/age) and must do so within 12 months if the employee asks to rejoin.

Neat little summary here: https://www.moneyhelper.org.uk/en/pensions-and-retirement/building-your-retirement-pot/rejoining-after-opting-out

MallyGirl

so they could miss out on 'up to' 12 months employer contributions

RoadToRiches

Was not planning on having to wait up to  12 months to rejoin :-(

Marcon

RoadToRiches said:

Was not planning on having to wait up to  12 months to rejoin :-(

Check with your employer - you may not have to wait that long. That's the maximum, not some sort of statutory 'waiting period' so all may yet be well...

Linton

Marcon said:

RoadToRiches said:

cloud_dog said:

RoadToRiches said:

Am I able to transfer out the value from my workplace DC scheme and if I do this can I then rejoin my workplace pension from zero.

Do you actually mean withdraw the money out of the pension wrapper?  If so, then no (unless you are of a certain age or have serious life limiting health condition).

No not at all, I want to transfer the cash into a SIPP a DC to DC transfer in effect but from my current employers scheme with Standard Life.  I don't believe they allow for partial transfers, hence my question about re-joining after doing this.

Check with your employer, or read the information you've been given (possibly a website link) to see.

Brie said:

There may be a waiting period before you are allowed to rejoin - assuming you are allowed at all.

Under auto-enrolment, the employer must allow employees to rejoin (if they are still eligible in terms of earnings/age) and must do so within 12 months if the employee asks to rejoin.

Neat little summary here: https://www.moneyhelper.org.uk/en/pensions-and-retirement/building-your-retirement-pot/rejoining-after-opting-out

Yes, but acccording to the quoted reference there is no requirement for the employer to allow you to rejoin the scheme you left.  You could be restricted to a statutary minimum pension scheme.  So get your options very clear and documented before you do anything.