Moving deferred benefit

M

micheller

Registered User
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I have an old pension scheme, but have now joined a new one.
Should I move the old one to bulk up the new fund, in order to increase the 25% retirement lump sum value in the future? Also to have only one set of levies, management fees etc.
Or should I leave it where it is for risk/ diversity or any other reason? Both funds very solid. Advise appreciated
 
You really need professional advice in this. It depends on the value of your current fund; your age; the solvency of your DB pension fund and the solvency of your DB employer. You only have the one shot!
 
The critical issue is whether you are transferring out of a DB or a DC Scheme.
If it’s DC to DC then it really just comes down to fund charges , assuming a good choice of funds in the new scheme.
If it’s DB to DC then it’s more complicated, as Ravima pointed out.
 
DC goung to split DB, and DC. So I assume DC part goes to the DC.
I really want to maximise the 25% of full fund value lumpsum, that's my main driver.
 
Moving the benefits into your current scheme will not change your 25% lump sum figure. If you hold two DC schemes, you can take 25% of each on retirement. So moving them into one arrangement will not change the figure much.
 
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