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ESA and Early Pension fund reclaim
oshb5
Posts: 71 Forumite
Hello I was wondering I have major heart back and bowel problems so get ESA at the support group level. Anyway quite a few years ago and before I finished work due to ill health I worked on heavy plant and had a private company pension which I had forgotton about and recently when I got to 55 Iv had some company's get in touch with regard to taking a portion of the pension as a lump sum now. Now Iv not done anything as I am on the ESA and dont know how or if it will affect the bennifit. But at the same time my car is on its last legs and is my only means of getting out of the house But as well as being on its last legs it is also a manual which also makes it that I am unable to go far in it So if I was able to get a different car it would have to be a automatic. This is what I have thought thst if I could use a small portion of the pension that I could usse it to buy a replacement car? How would I stand doing this?
Apparently the pension is not huge and works out something like 58k todate, The company's have advised that I could take up to 25% but I have not responded besides If I could I was not thinking of taking anywhere near that amount. And at the most was only thinking of say £2.500 - £3,000 as this would no doubt last me to my last days of driving.
I just need a some information that informs me if its possible on ESA to be able to use some of the pension fund and if so the best way to go about getting the small amount out of the fund without lining the pockets of the various company's offering to do it for me?
Many thanks regards Os:beer:
Apparently the pension is not huge and works out something like 58k todate, The company's have advised that I could take up to 25% but I have not responded besides If I could I was not thinking of taking anywhere near that amount. And at the most was only thinking of say £2.500 - £3,000 as this would no doubt last me to my last days of driving.
I just need a some information that informs me if its possible on ESA to be able to use some of the pension fund and if so the best way to go about getting the small amount out of the fund without lining the pockets of the various company's offering to do it for me?
Many thanks regards Os:beer:
0
Comments
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Lump sums of up to 16K will not terminate your award if you have no savings or other capital.
Up to 6K will not reduce it.0 -
is there any difference between being on contribution based esa than income based. I though that all capital was disregarded for contributions based?
http://www.entitledto.co.uk/help/employment-and-support-allowance-contribution-based0 -
Hello Again
Iv had a look and as far as I can see I am on the Income related ESA. So as I have no savings. I have read about what you said where it says that under 6k in savings you are OK and under 16K you still keep the award but a get lesser amount.
But can I ask what is pension income. Is that when you are getting a regular weekly payment from your pension fund like a weekly income?
So if its correct and I could get a one off withdraw of say 3k from the fund to sort out a replacement car that would be a Automatic?
Finally if this is all right can anyone point me in the right direction of a company to use or how to start the process and how or what to do with the remaining amount ? That being can it be left where it is now or is it best to find another place to get it invested?
Thank you all once again Os. :beer:0 -
Pension income is indeed a weekly or monthly amount from your pension pot.
Firstly I would find out for sure if you are on contribution based or income based ESA. If the former than it would perhaps be in your best interest to take as much as possible as capital.
Benefits and pensions are both very complicated so probably worth taking some independent advice0 -
firstly ignore people cold calling you re a pension,they will want a cut
from next april you will have new options with your fund and i suggest you look into something called draw down,you should also seek advice on the mse pension forum0
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