Does anyone have info on cashing in private pensions?
Options

Sandy_123
Scope Member Posts: 63,123 Championing
Hi does anyone have any proper info on cashing in private pensions, I've been googling aimlessly. I can take take a private pension, but trying to weigh pros and cons.
0
Comments
-
It depends whether it's a lump sum you want or a weekly/monthly income. It also depends on what benefits exactly you're claiming, whether it will affect them. I'm sure someone will advise if you can give more information.
0 -
Its a lump sum not sure of what amount and so much each month I'm on lwcra uc0
-
If you take a monthly amount then this will reduce your UC £1 for £1 so in my opinion, it will not be worth you doing this at all because you won't be financially better off.The lump sum won't affect your UC if it doesn't take your total savings to more than £6,000 on the last day of your assessment period.0
-
Yeah that's not worth doing. I'm guessing a lump sum less then the cut off savings amount would be seen as unearned income?0
-
Sandy_123 said:Yeah that's not worth doing. I'm guessing a lump sum less then the cut off savings amount would be seen as unearned income?
Unearned income would be what regular pension payments are classed as and, as poppy says, this is deducted in full.
Taking pension income while on UC would be very foolish because you will gain nothing by way of current income but will obviously reduce your pension pot. Effectively all you would be doing is transferring your pension savings to the government.0 -
Yeah it would be foolish I guess it's best to leave it until state pension age0
-
I'm not sure what else Pension Wise can advise with, other than what's already been advised.
0
Categories
- All Categories
- 15.2K Start here and say hello!
- 7.2K Coffee lounge
- 87 Games den
- 1.7K People power
- 120 Announcements and information
- 24K Talk about life
- 5.7K Everyday life
- 381 Current affairs
- 2.4K Families and carers
- 863 Education and skills
- 1.9K Work
- 519 Money and bills
- 3.6K Housing and independent living
- 1K Transport and travel
- 879 Relationships
- 255 Sex and intimacy
- 1.5K Mental health and wellbeing
- 2.4K Talk about your impairment
- 863 Rare, invisible, and undiagnosed conditions
- 921 Neurological impairments and pain
- 2.1K Cerebral Palsy Network
- 1.2K Autism and neurodiversity
- 39.1K Talk about your benefits
- 5.9K Employment and Support Allowance (ESA)
- 19.5K PIP, DLA, ADP and AA
- 8K Universal Credit (UC)
- 5.6K Benefits and income