Can I take another lump sum from my pension?

beastyboy

Last year I took a tax free lump sum from my pension of £35k, it's a flexible drawdown pension with around £380k current value, as I understand it I won't pay any tax on the lump sum taken last year going forward and will only pay tax on any future withdrawals from that crystallised pension.
My question is can I take another tax free lump sum this year of say £20k without having to pay any tax using the same crystallised pension process?
Will either of these have an impact on the remaining 'active' pension in terms of how much I/my company can contribute yearly into the original pension as I've seen confusing information around a £10k a year limit anything above that limit would incur a tax charge?

Keep_pedalling

Not if the £35k was 25% of the value of the fund when you withdrew it. 

beastyboy

Keep_pedalling said:

Not if the £35k was 25% of the value of the fund when you withdrew it. 

No, the total tax free lump sum was around £90k at the time I took the first amount.

leosayer

You can only take tax free cash from an uncrystallised pension.

Your post doesn't make it clear how much if any of your pension is uncrystallised .

beastyboy

leosayer said:

You can only take tax free cash from an uncrystallised pension.

Your post doesn't make it clear how much if any of your pension is uncrystallised .

Currently I have one uncrystallised pension of £140k that was made from my original pension, I took the £35k from that uncrystallised pension, hence 25%.

leosayer

beastyboy said:

leosayer said:

You can only take tax free cash from an uncrystallised pension.

Your post doesn't make it clear how much if any of your pension is uncrystallised .

Currently I have one uncrystallised pension of £140k that was made from my original pension, I took the £35k from that uncrystallised pension, hence 25%.

What are the current values of your crystallised and uncrystallised pensions?

Albermarle

So lets say your total fund last year was £400K before you took the £35K tax free.( the first time you took any tax free presumably)

So to begin with the £400K was Uncrystallised.
To get £35K tax free then four times that amount had to be Crystallised.= £140K 
Of that £140K - 25% ( £35K) was paid to you as tax free cash.

Then you are left with £260K still uncrystallised and £105 K crystallised.

One year later both have grown by 10% due to buoyant stock markets.
So now you have £286K uncrystallised and £115.5Kcrystallised ( assuming both are invested in the same way)
So you still have ££71.5K tax free cash still available, which you can take all at once or in smaller tranches as you have done already.

If you take any money from the crystallised part, it is taxable income and it will trigger the £10K MPAA limit.
Taking just tax free cash does not trigger this limit.

dunstonh

beastyboy said:

leosayer said:

You can only take tax free cash from an uncrystallised pension.

Your post doesn't make it clear how much if any of your pension is uncrystallised .

Currently I have one uncrystallised pension of £140k that was made from my original pension, I took the £35k from that uncrystallised pension, hence 25%.

There you go.  You have just answered your question.  You still have £140k uncrystallised.

p00hsticks

dunstonh said:

beastyboy said:

leosayer said:

You can only take tax free cash from an uncrystallised pension.

Your post doesn't make it clear how much if any of your pension is uncrystallised .

Currently I have one uncrystallised pension of £140k that was made from my original pension, I took the £35k from that uncrystallised pension, hence 25%.

There you go.  You have just answered your question.  You still have £140k uncrystallised.

I'm not sure they have (the reply is a bit confusing) ? 
If he took £35k from the £140k uncrystallised pension then that would have crystallised it and there would be no further tax free amount available ....

beastyboy

leosayer said:

beastyboy said:

leosayer said:

You can only take tax free cash from an uncrystallised pension.

Your post doesn't make it clear how much if any of your pension is uncrystallised .

Currently I have one uncrystallised pension of £140k that was made from my original pension, I took the £35k from that uncrystallised pension, hence 25%.

What are the current values of your crystallised and uncrystallised pensions?

They term them as:
Pension Savings - £272,131
Pension Drawdown - £112,411

dunstonh

beastyboy said:

leosayer said:

beastyboy said:

leosayer said:

You can only take tax free cash from an uncrystallised pension.

Your post doesn't make it clear how much if any of your pension is uncrystallised .

Currently I have one uncrystallised pension of £140k that was made from my original pension, I took the £35k from that uncrystallised pension, hence 25%.

What are the current values of your crystallised and uncrystallised pensions?

They term them as:
Pension Savings - £272,131
Pension Drawdown - £112,411

Its a pain when providers decide to rename the generic terms to some marketing term.

Savings = uncrystallised
Drawdown = crystallised.