Joining co. pension-what to do with private one?

J

JohnA68

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I've had a private pension with ark life for the last 4-5 years and built up aprox €40K in it. I've jsut joined a company where they offer a company pension and will match my deposits to their pension, up to 5% of my salary.
The company policy will not allow mw keep up a private pension so i have instructed ark life to change status to paid up.

So what are my options with the paid up fund-do i just leave it there, if i cash it to buy another fund will i have to pay tax on it?

Should I invest it in something else or just let it sit there-presumably it can be reactivated if i change jobs and move out of company pension scheme-though at this stage i don't plan on doing that.
any help appreciated?
 
Usually you can reactive personal pensions, so yes, if you do change jobs you can go back to them if you are happy with the service received so far.

Is the company scheme a defined benefit one or a defined contribution?

If defined benefit, will they allow you to buy years of service using your personal pensions?
 

No co scheme is defined contribution....question really is what can I do with the other...? Leaving it sit seems like a waste..?
 
Well, it's not really a waste, as it should continue to appreciate. Watch out for the annual charges. If they are not too high (1-1.5%), then I would leave it where it is. At this stage I have five pensions from various different employments.

What would be a waste would be to cash it in to add it to another pension that will only make the same amount per year: you pay charges to cash it in, you pay charges to enter the new pension, you still only get the same growth per year, but on a smaller sum (because of the two sets of charges).
 
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