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Options for DB Pension upon retirement

gammyleg · 2024-08-03 11:55:24

Hi, After an 18 month wait I have finally received my CETV from my DB pension administrator. In short, it values the transfer @ £173k and estimates an annual income from this pension at about £4,500k per year on retirement, or less if I extracted some of my 25% tax free allowance. In my simple world, I divided the CETV…

Comments

daveyjp Posts: 14,041 Forumite

4 August 2024 at 8:31AM

A DB pension is in effect already an annuity, a guaranteed payment for life on money paid into the scheme.

In general they are far more generous than anything you can buy on the open market (spouses pension, annual increases) so cashing in a DB pension to buy a different annuity looks to make very little sense.

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