Cashing in pension

Y

ycollins

Guest
I paid into a personal pension benefit from April 2002 to December 2003 until I took up full time position in the home. I read somewhere that it is possible to cash a pension in if it has been paid into for less than 2 years - has any one any more information on this ?
 
It is possible to do this but I think that you can only do it when you are leaving the job and not later on (e.g. now).
 
It is a Personal Pension - I think you are both confusing with the occupational pension regulations in relation to less than 2 years to be allowed cash in (for someone that left after 1 June 2002).

Also, Club, if a person (under the legislation) can cash it in (of course pay tax at 20% and lose any employer money) then they can do it at any time...it does not have to be straight away when person leaves the employment.
 
I stand corrected on both points. Apologies for any confusion caused. I missed the reference to personal pension plan and I wasn't sure about the time limit where it was an occupational pension plan with less than two years membership. In any case where such an encashment is possible it's limited to personal (not also employer) contributions only and is subject to an exit tax (20%?).
 
I do not think that a Personal Pension can be cashed in (except where contributions paid for less than 12 months - and even then I would think it is at the insurance company's discretion, it is a different animal to the occupational pension).
 
thank you all for replies. Got a letter from pension co. today and as said it's not possible- won't be worth much at retirement age though if I stay at home !
 
Why not turn it into a "positive" and think of it as a building block for a personal fortune that you can amass tax efficiently through your pension fund :)
 
You must log in or register to reply here.
Back
Top