Hi,
I'm currently aged 55 and intend to leave my current job when I'm 60. I'm a bit fuzzy about the requirements around my current DC pension and when I'd have to convert it to an ARF (or purchase an annuity). I don't seem to have a retirement age specified in my contract so I don't have a Normal Retirement Age? Does this mean that I can park it indefinitely?
If I wanted to take up part time employment with an alternative employer when I'm 60 can I preserve my current DC pot for several years and avoid having to get its ARF deemed distribution income taxed at the 40% rate? I presume that I could preserve it to at least 65 but could I go longer e.g. 70, 75?
To supplement the part time employment, I will have DC pots from other previous employments in an ARF which will have deemed distributions. I definitely don't intend letting the tax avoidance 'tail' wag the dog but am curious as to how long I can preserve my current DC pension before being obliged to convert it to an ARF (or annuity) if I was able to survive below the 40% Income limit on other sources.
I'm currently aged 55 and intend to leave my current job when I'm 60. I'm a bit fuzzy about the requirements around my current DC pension and when I'd have to convert it to an ARF (or purchase an annuity). I don't seem to have a retirement age specified in my contract so I don't have a Normal Retirement Age? Does this mean that I can park it indefinitely?
If I wanted to take up part time employment with an alternative employer when I'm 60 can I preserve my current DC pot for several years and avoid having to get its ARF deemed distribution income taxed at the 40% rate? I presume that I could preserve it to at least 65 but could I go longer e.g. 70, 75?
To supplement the part time employment, I will have DC pots from other previous employments in an ARF which will have deemed distributions. I definitely don't intend letting the tax avoidance 'tail' wag the dog but am curious as to how long I can preserve my current DC pension before being obliged to convert it to an ARF (or annuity) if I was able to survive below the 40% Income limit on other sources.