What are my best pension / retirement options?

System · 25 January 2024 at 5:31PM

This discussion was created from comments split from: Success Stories - Pensions.

aphty · 25 January 2024 at 4:30PM

2024 also a year of change for me and I am exploring my best pension / retirement options, including a plan to quickly seek financial advice, based on the following model;

At the end of 2023, aged 61, I accepted a voluntary redundancy package which brought the total savings figure for both myself and my wife (mix of ISAs and non ISA accounts) to 200k.

Wife (aged 58) will continue working (net income 30k pa) 9 more years until aged 67 she will receive approx. 10k pa state pension and 10k pa defined benefits pension

I will receive approx. 10k pa state pension in 6 years time. My approx current personal pension pot value (3 separate pots), not yet accessed, is 650k

My ideal objective is to do no more paid work and my aim for the next 6 years is to personally contribute net 36k pa to the household in the most tax efficient way possible. I would also want to factor in maximising a legacy within the plan if possible.

I would really appreciate any thoughts at all on what I should be considering. My own first thoughts to achieve the 36k figure have been;

Possibly a combination of spending the savings / managing savings to ensure interest received is not taxed / plus taking lump sum UFPLS payments 16760 from the pension to use the personal allowance?
Should I transfer some of the savings into the pension before April to the maximum annual allowance limit if I can get higher rate tax relief having been employed this tax year? Next tax year onwards as a non earner should I pay 2880 from savings into the pension as 20% tax relief is better than savings interest?
How should I go about seeking financial advice (possibly combining pots and certainly ensuring risk profile is consistent across them)? Will the fee be based on a percentage of the value of the pension pot alone - as it is the biggest asset this seem like it might be quite high - is it possible to search for Advisors who offer a capped one off fee arrangement?

Any advice gratefully received!