Transfer my Serps into my SIPP

SERPS = State Earnings Related Pension. You did not pay into it except through NICs. It added to your state pensions.



You could opt out if you were paying into some other pension scheme.


You must be talking about that other pensions scheme.
You need to work out what scheme that is. It isn't SERPS.

You must be talking about that other pensions scheme.
You need to work out what scheme that is. It isn't SERPS.

I assume the OP means he opted out of SERPS for a few years and the NI contributions were paid into a personal pension instead. Many people still refer to this as their 'SERPS pension' as opposed to other pensions they might have , although in reality it is just another DCpot.

Yes I opted out of Serps way back in the day. I was only 17 at the time and was told to do this as it was the best option.

You didnt opt out. You contracted out. Common error in terminology. It was the best option and you should be pleased you did it.

The same was said about my endowment mortgage we all know how they worked out.

Over 90% of the people who had endowments paid surpluses. So, those did work out. For the later ones with shortfalls, the shortfalls are often less than the cost difference compared to a repayment basis (i.e £25pm cheaper over a 25 year term is £7500. So, a shortfall of £7500 or less in that example would still see the person better off).

The reason I said it was decreasing is because as I am no longer contributing to it, the pot has stayed the same, yet Reassure take a yearly fee from it, so every year its going to get less.

That is an incorrect assumption. Fees do not mean every year is going to get less.

Barclays only offered unit linked funds. So, you are asking us to believe that an equity based fund has stood gone backwards. That is highly unlikely. The only real way that is going to happen is if you selected a deposit fund. What fund(s) are you invested in?

The way I see it is, I am better off transferring the money out into my pension that way I only pay a yearly fee once as apposed to twice as is currently the way.

That is not logical and I suspect you do not understand the charges. I highly doubt your "only" charge is taken annually. Most charges on investments are 1/365th. The SIPP charge may be annually but that is just one piece of the jigsaw. And just because it is annual, does not mean it is cheaper than monthly. It is the amount over the comparable period that matters. Not the frequency of payment.

Worth checking if there is a penalty for transferring the money out of your 'SERPS' account early - there is with mine and it is quite large.

dunstonh wrote: »

Over 90% of the people who had endowments paid surpluses. So, those did work out. For the later ones with shortfalls, the shortfalls are often less than the cost difference compared to a repayment basis (i.e £25pm cheaper over a 25 year term is £7500. So, a shortfall of £7500 or less in that example would still see the person better off).

Over 90% seems very surprising. I had 2 endowments, one for a 40k mortgage in 1989 that paid 33k in 2014 and a top up for 16k in 1992 that paid 12k. I thought that was in the peak period for such mortgages.
Ino longer had the mortgage when they matured.