PENSION POT

aayush

Ayr_Rage said:

You need proper advice regarding tax implications and what you can actually obtain from whoever holds the pot. 

the say to take what u need but you will pay emg tax on the amount as not taken b 4 thus tax amount high once HMRC advice of tax code then next time will be so high

Dazed_and_C0nfused

aayush said:

Dazed_and_C0nfused said:

aayush said:

Hi
Can Any one advise if I where to draw down from my pension pot which I will get tax on emg code will  I be able to claim the tax back?

All depends what other taxable income you have.

I am 59 and work at present salary as this is my only income at present 

Depending on the amount you earn and the amount of pension taken you are likely to have to end up paying 20%, 40% or a mix of 20% and 40% on the pension income.

In extreme circumstances it could be as much as 60% if it takes your adjusted net income above £100k.

Or even more if you become liable for High Income Child Benefit Charge and Child Benefit was paid for a few children.

molerat

Do you want to take a large lump sum or smaller lump sum and / or regular payments.  The first taxable withdrawal will always be taxed at 1257LM1 which means tax will be deducted from any taxable amount over £1048 so withdrawing any less than that, so under £1397 including the 25% tax free, will mean no tax will be deducted and HMRC will issue a code for any further withdrawals.  But you need to be aware of, or get advice on,  your overall tax situation for the year before you do anything.

aayush

Hi
All am on 24 at present the reason I wish to take lump sum is for the deposit for flat as in between a mutual split at present and as am 59 not

aayush

molerat said:

Do you want to take a large lump sum or smaller lump sum and / or regular payments.  The first taxable withdrawal will always be taxed at 1257LM1 which means tax will be deducted from any taxable amount over £1048 so withdrawing any less than that, so under £1397 including the 25% tax free, will mean no tax will be deducted and HMRC will issue a code for any further withdrawals.  But you need to be aware of, or get advice on,  your overall tax situation for the year before you do anything.

can I draw down even if not pension-able age and would it help re mortgage application and would still be able to get Universal Credit 

scobie

This all feels like it’s going to end badly and I think people should be wary of doing anything here EXCEPT tell the OP to get proper financial advice. He is going through a breakup and - no offence - comes across as financially naive. 

He needs to sit with a professional who can calmly ask him for all the relevant details and then advise him properly. 

Ayr_Rage

@scobie I am 100% in agreement with you, @aayush needs professional help on this subject.

aayush

from who
as the charge for advise  thus if not get what I want then up the creak with out a paddle as  said going through break up and age against me thus to sure how long got to live and pens ion go to other half 

molerat

Trying to cash in the pension now to avoid your partner from getting it won't work.

aayush

NOT FOR THAT AS I NEED TO MOVE TO A FLAT AND MY AGE DOES NOT HELP GETTING MORG AS I NEED LARGE DEPOSIT TO CUT MONTHLY OUTGOING 
SORRY FOR CAP KEY BOTRD GOT STUCK