Should I continue with my AVC?

dclowsley

Hi
I am a 43 yr old teacher, have been teaching for 18yrs and am assuming I will be in reciept of a reasonable pension.

Prior to going into to teaching I was in industry for about 4 yrs, during that time I took out an AVC with what was then General Portfolio now Winsor Life.
I also opted out of serps briefly and appear to have another 3rd small pension fund I cannot account for!
I have rung Winsor life several times but have been unable to get to speak to anyone to discuss my accounts. Have now written to them and am awaiting a relpy.

Hopefully someone can answer my questions

1. Could I transfer all my pension funds into my teachers pension?
2. Would this be a good idea?
3. Would it be a good idea to freeze my AVC and pay the monthly payments as extra on my mortgage instead?
4. The AVC was planned with a view to me retiring at 55, if I dont retire until I am 60 will I still get the pension from them at 55?
5. Can I take any of the pension as a lump sum when I retire?
6. Could I cash in any of these pension accounts now and use the money for something else?

Any advice/information would be gratefully recieved.
Thanks.

Andy_L

1 - No, you can only transfer another pension into the TPS in the 1st year of membership
2 - Might of been at the time - it depends on what the numbers show.
3 - Depends on the numbers
4 - Assuming is a free standing AVC you can take it from 55, if it's tied to the company pension you may be only able to take it when you formally retire.
5 - Yes, 25% of the AVC fund value. For the company pensions the rules may either give you a lump sum or you sacrafice annual pension for lump sum (The TPS probably gives £12 lump sum per £1 of pension given up.)
6 - No, money in a pension is locked up until retirement age (currently 50 rises to 55 in ~2010)

dclowsley

Hi Andy,
Thank you for your prompt response, now feel have a better understanding.