Drawdown and crystalisation

[Deleted User]

Got 25% tax free about a year ago and understand that the remaining 75% is then crystalised so you can't get the tax free again, so you have 2 SIPP pots.

Am I right that any contributions AFTER this drawdown would go into the uncrystalised pot?

Example:-

£200K drawdown so £50K cash tax free, leaving £150K crystalised pot (£0 uncrystalised at this point).

£25K contributions over the next year.

Should the case then be

Cryalised pot = £150K plus whatever its grown by
Uncrysalised = £25K plus whatever its grown by.

Is that right?

dunstonh

Am I right that any contributions AFTER this drawdown would go into the uncrystalised pot?

Yes it is......

Albermarle

[Deleted User] said:

Got 25% tax free about a year ago and understand that the remaining 75% is then crystalised so you can't get the tax free again, so you have 2 SIPP pots.

Am I right that any contributions AFTER this drawdown would go into the uncrystalised pot?

Example:-

£200K drawdown so £50K cash tax free, leaving £150K crystalised pot (£0 uncrystalised at this point).

£25K contributions over the next year.

Should the case then be

Cryalised pot = £150K plus whatever its grown by
Uncrysalised = £25K plus whatever its grown by.

Is that right?

It is but only some providers actually have two distinct pots. Others just have one and will give a % of how much of it is crystallised or uncrystallised.