Hargreaves Lansdown ufpls

mkcj

Please can someone advise if my thinking is right?

If I wanted to withdraw £10,000 from Hargreaves Lansdown.

First I must fill in a form.? Can this be done online?

In order to not pay tax on this amount I should with draw £1000 and get a tax code before withdrawing the other £9,000?

If I withdraw the £1, 000 how long is it before I receive a tax code?

In order to do two ufpls in the same year does the form need filling in twice?

Anything else I need to think about?

Thanks for any help advise.

molerat

First I must fill in a form.? Can this be done online?

You fill in a questionnaire on line first then a form is sent out to return, the paper application form cannot be bypassed on line.

In order to not pay tax on this amount I should with draw £1000 and get a tax code before withdrawing the other £9,000?

If I withdraw the £1, 000 how long is it before I receive a tax code?

That is the best way but to achieve the maximum tax efficiency you may need to wait until the end of the tax year for the big bite as you only get 1/12th of your allowance per month, if you will be taxed at BR then that is not relevant.  Tax code is usually applied within days.

In order to do two ufpls in the same year does the form need filling in twice?

Yes, each withdrawal requires the same performance.

You could of course do monthly drawdown which I believe is less paper intensive, don't know for sure because we are purely annual £2880 in £3600 out UFPLS customers 

Albermarle

In order to do two ufpls in the same year does the form need filling in twice?

It is not the same procedure with every platform, but having to fill in a form/answer questions each time seems to be the usual procedure. Some posters have previously said they make just one UFPLS withdrawal a year, and put it in a savings account and withdraw from this during the following 12 months.

MK62

When I last did an UFPLS at HL I did the "risk" questionnaire on the phone, and it apparently lasts just 6 months (not the phone call, the validity of the questionnaire... )

The procedure for getting the tax back isn't overly complicated though (just a P55 form - paper or online), and you usually get the tax back within 6 weeks, straight to your bank account.

mkcj

Thank you all for your help.

So if I was to wait until February/March would I be able to draw the full amount without tax ( not getting a tax code first) as I would not have used my tax free allowance for the year.
 
My only other income is some savings interest.

Albermarle

mkcj said:

Thank you all for your help.

So if I was to wait until February/March would I be able to draw the full amount without tax ( not getting a tax code first) as I would not have used my tax free allowance for the year.
 
My only other income is some savings interest.

Yes that should work. Just be aware that these things do not happen immediately, and as the tax year end approaches, the call centres etc get busy. So probably best to get the ball rolling in February.

molerat

mkcj said:

Thank you all for your help.

So if I was to wait until February/March would I be able to draw the full amount without tax ( not getting a tax code first) as I would not have used my tax free allowance for the year.
 
My only other income is some savings interest.

No.  Your first withdrawal would be at 1257LM1 whenever you take it so tax could be deducted.  You need to get a code allocated first by taking under £1397 (£1047 taxable) - not that it really matters how much you take first dip as it would be refunded.  If you have the full £12570 allowance and the full amount you want to withdraw is £10K then November is your sweet spot month as you have in excess of the full £7500 in tax allowance by then.

mkcj

Thank you everyone.

mkcj

Thank you for all your advice.
I have another question.
I am filling in the form for an illustration and it asks for pension details.
Is this just the details of what I have with them, or do I also include the value of the pension I have with another provider?
Thanks for help.