Age 60 AVC Value £9715 or add pension of £347.60

philng

I am about to draw my DB Pension and have an AVC of £9715 which I can take as an additional pension of £347.60 pa.

I am aged 60 and good health.

The AVC part would be index linked same as main scheme.

Is this good value?

Dazed_and_C0nfused

philng said:

I am about to draw my DB Pension and have an AVC of £9715 which I can take as an additional pension of £347.60 pa.

I am aged 60 and good health.

The AVC part would be index linked same as main scheme.

Is this good value?

Is it uncapped CPI increases?

If not it doesn't sound brilliant value.

philng

Dazed_and_C0nfused said:

philng said:

I am about to draw my DB Pension and have an AVC of £9715 which I can take as an additional pension of £347.60 pa.

I am aged 60 and good health.

The AVC part would be index linked same as main scheme.

Is this good value?

Is it uncapped CPI increases?

If not it doesn't sound brilliant value.

Up to 5% a year with spouse pension.

MX5huggy

What tax rate will you pay on the £347? And I presume you can get the £9k tax free and stuff it in a S&S ISA?

philng

MX5huggy said:

What tax rate will you pay on the £347? And I presume you can get the £9k tax free and stuff it in a S&S ISA?

Tax rate 20% and due to drawing another larger seperate avc as a whole tax free amount the quote states 25% of this £9k would be tax free and remainder taxable which would be at basic rate