Late husband's pension

Marcon

topyam said:

sheramber said:

When my husband dies , after discussion with  a FA I moved my lump sum into flexible drawdown. 

I take a monthly amount but can take any amount I want at any time . I can take less, more or it all at any time. 

As it is a bereavement pension it is non taxable. 

Have you found that this has grown much since moving? 

Depends where it's invested (and what the charges are), so any answer isn't going to be as helpful as you hope.

Maybe now would be a good time to take some proper financial advice, so you fully understand your options and are able to make informed investment decisions at what can only be a very difficult time for you.

topyam

I struggle to trust advisors.
Got awful advice many years ago that got me trapped in a mortgage with a closed book lender- finally escaped.
Genuinely fund they all have their own agenda.
Trying my best to understand all this myself and make the right decision for me
Have found this forum so helpful

zagfles

topyam said:

Got the ERC waived and paid off the mortgage 

In a position where I don't need the pension money niw, but might in the future. Maybe for kids for uni, or to live on down the line....

1. Take it all as cash

Taking it cash free is easy, but obv leaves me to work out how where to put it to get the most out of it...

2. Buy a guaranteed income

Have ruled out buying a guaranteed income i think. More fir somebody older?

3. Transfer it to another provider
I am considering transferring it to an inherited pension / beneficiary drawdown pension.. 
What's everybody's opinion of this? Obv an element of risk. But I can access the £ if needed. And it grows tax free. Would provider fees be big too and negate some benefits?

4. Take a flexible income

I guess the flexible income option means it stays with the current provider, so depends on my thoughts on how good the current pension is? 

Isn't 4 the same as 3 but with the current provider? 

A beneficiary drawdown pension could be a good idea as it keeps all interest/growth tax free, and you can draw tax free whenever you want, you don't have to draw anything yet if you don't need it. The element of risk you mention applies equally to whatever you do, in a beneficiary drawdown pension you can invest in whatever you want, and it could even be safer than using cash savings, for instance you could invest in index linked gilts which would provide inflation protection. Or you could invest in equity funds etc which obviously does incur risk. Or a mix. 

wjr4

topyam said:

I struggle to trust advisors.
Got awful advice many years ago that got me trapped in a mortgage with a closed book lender- finally escaped.
Genuinely fund they all have their own agenda.
Trying my best to understand all this myself and make the right decision for me
Have found this forum so helpful

That is a mortgage adviser. You need to find an independent financial adviser, usually a small local firm. Avoid the large national companies and any ‘restricted’ companies (just ask them if they are independent and if they say anything other than ‘yes’, they are restricted). 

LHW99

Although it is sill definately worth learning as much as you feel able for yourself.

Even if you decide you still need an IFA, it will help to understand what they propose, and give you some background to have an informed conversation about any alternatives.