Over 50? Beware of pension deadline

EdInvestor

An alert for anyone with a personal pension: if you are over 50 you can currently take benefits from these pensions, including just taking the 25% tax free cash and leaving the rest invested for later.

But as of April 2010, the minimum age rises to 55.So people over 50 now but under 55 in 2 years' time could get caught .They need to plan now to avoid an extra wait.

Details

Also, if you've been wanting to take your tax free cash but have been stopped because your fund has protected rights (former SERPS) money in it, then this problem should be solved from October, when new rules will allow all pension money to be moved to SIPPs and put into drawdown after taking the 25%.

Francophile

Thanks Ed. That article makes interesting reading.