Thank you for the info. I’Assuming that you're in good health, you can take early retirement from the pension scheme of a previous employer if you're aged 50 or over. (Early retirement due to ill-health is permitted earlier than age 50.)
You must retire both the main pension scheme benefits and the AVCs at the same time. If the main scheme benefits are in a well-funded Defined Benefit pension scheme, this might not be an advisable course of action for you.
So some follow-on questions...
Regards,
- What age are you?
- Is the main pension scheme Defined Contribution (DC) or Defined Benefit (DB)? (If you get annual statements from the main scheme that quote a fund value, it's probably DC. If you don't know, ask whoever your contact point is for the pension scheme.)
Liam
www.FergA.com
Assuming that you're in good health, you can take early retirement from the pension scheme of a previous employer if you're aged 50 or over. (Early retirement due to ill-health is permitted earlier than age 50.)
You must retire both the main pension scheme benefits and the AVCs at the same time. If the main scheme benefits are in a well-funded Defined Benefit pension scheme, this might not be an advisable course of action for you.
So some follow-on questions...
Regards,
- What age are you?
- Is the main pension scheme Defined Contribution (DC) or Defined Benefit (DB)? (If you get annual statements from the main scheme that quote a fund value, it's probably DC. If you don't know, ask whoever your contact point is for the pension scheme.)
Liam
www.FergA.com
I’m 54. Still in closed DB scheme. And in DC scheme which company subsequently opened.Assuming that you're in good health, you can take early retirement from the pension scheme of a previous employer if you're aged 50 or over. (Early retirement due to ill-health is permitted earlier than age 50.)
You must retire both the main pension scheme benefits and the AVCs at the same time. If the main scheme benefits are in a well-funded Defined Benefit pension scheme, this might not be an advisable course of action for you.
So some follow-on questions...
Regards,
- What age are you?
- Is the main pension scheme Defined Contribution (DC) or Defined Benefit (DB)? (If you get annual statements from the main scheme that quote a fund value, it's probably DC. If you don't know, ask whoever your contact point is for the pension scheme.)
Liam
www.FergA.com
Thank you for the info. I’
I’m 54. Still in closed DB scheme. And in DC scheme which company subsequently opened.
Stupidly I left out an important fact, I think. I took redundancy from the company in 2014 and I’m now self-employed. Is this pertinent?The DB part is complicated. You'd need to get on to the brokers for the pension scheme and ask them...(1) what pension you'd expect from the DB part if you stay on to normal retirement age, (2) what pension you'd get if you take it now and (3) if they'll give you a transfer value now instead. It's possible that they won't even allow you to take retirement benefits now, in which case your question is answered. If they will allow it and give you the figures for the previous three questions, then you'd need to evaluate if you're giving up too much by taking it now, compared with leaving it until normal retirement age. You could post the replies back here and would probably get a good steer.
I took redundancy from the company in 2014 and I’m now self-employed. Is this pertinent?
I remember some reference to “slicing and dicing” but I was never informed that this would effect pension lump sum.When you took redundancy, were you offered the opportunity to waive your entitlement to a tax-free lump sum from the pension, in return for more of your redundancy lump sum being tax free at the time? If so, which did you choose? (If you can't remember, then the pension scheme administrators should have that on record anyway so they could tell you.)
Your current self-employment is not really pertinent to this particular query.
Thanks for that.Pensions benefits in relation to an employment have to be accessed at the same time (e.g. AVC plus DB).
Thanks for all your help.When you say you have two other AVCs making three altogether, I'm assuming that all three AVCs, the DB benefits and the DC fund all relate to the same employment which ended in 2014. If so, then as @Gordon Gekko says, all of these elements can only be accessed at the same time.
If all of this was DC and AVCs you could draw down your lump sum, transfer the balance into an Approved Retirement Fund (ARF) and defer drawing down any income from the ARF until the year in which you turn 61. But the DB element throws a spanner into the works of that idea.
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