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Can I cash in my works pension early?
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Harry Gold
Posted: 04 August 2012 14:22:33(UTC)
#1

Joined: 04/08/2012(UTC)
Posts: 1

Hi wondered if anyone here could help. I'm 50 this year and have a deferred works pension ( I contributed into a car manufactures pension scheme for over 10 years) I have since left that company and have been offered a job abroad, is there anyway I could cash in my pension perhaps abroad? Does anyone know of any reputable companies out there? I know that the age of accessing pensions have changed this year to 55 and that there are lots of companies on line who buy say they do this but they look a bit dodgy. I would be very grateful for any help. Thanks

Harry
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TeaJay
Posted: 06 August 2012 11:40:39(UTC)
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Joined: 17/10/2010(UTC)
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I'm reluctant to comment, having been retired 10 years - rules and regulations in the world of pensions change so often. So just a few comments:

> it is possible to transfer occupational pensions abroad, BUT typically it is complicated by virtue of the tax office regulations, so specialist advice is required [and that costs money].

> you haven't said what sort of company pension it is, were it to be a 'defined benefit' pension scheme, then the benefits will be revalued annually until Normal Retirement Date under the scheme. The point here is that should you intend to return to this country and retire here, this pension would come in handy. Who knows what foreign benefits you will have earned?

> the bottom line is that, yes, you can transfer your pension abroad, it may be costly, and you may well not be able to take the cash value when abroad. Certainly at one time the tax office insisted one could, broadly, only do abroad what one could do here.

> as to taking cash here - no comment!

Perhaps I should have said nothing at all!
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MR C.
Posted: 10 August 2012 00:35:01(UTC)
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Joined: 10/06/2009(UTC)
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Yes there are legitimate ways of both transferring it into an overseas pension and/or converting it fully into cash befre age 55. But the latter is a complex, highly specialised area of advice involving offshore trusts, Swiss registered companies etc and only really cost effective with a pension pot worth £200k+. Even then you'll be kissing goodbye to about 15% of that. So it really does depend upon how desperate you are for the money.

Transferring your accrued benefits into an overseas pension is possible too but again not something you should, nor could, undertake yourself. Go see a good quality IFA specialising in such.
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R. T
Posted: 29 October 2012 22:01:35(UTC)
#4

Joined: 29/10/2012(UTC)
Posts: 1
You can manage the funds from your pension, I have done so myself but you do have to be careful because there are a lot of scams out there and it does have to be done by a legitimate company that deal with umbrella trusts and specialist tax advice. It is a little complicated but certain rules have to be followed in order to comply with current HMRC rules and regulations but if I can help you I will.
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Roydo
Posted: 30 October 2012 09:42:04(UTC)
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Joined: 10/02/2012(UTC)
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Harry, check with the scheme trustees of your deferred pension; although your right, the normal earliest age is 55, some company schemes still allow access @ 50, IF they adopted different rules prior to the change.

R
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Cardeulis
Posted: 31 October 2012 09:15:32(UTC)
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Joined: 04/02/2012(UTC)
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It's probably a good idea not to be in too much of a hurry to do anything with this unless you really have to. The pension fund investment is 'safe' where it is. I'd suggest you see how the job abroad works out and if you really want to settle there permenantly before doing any complex transfers.
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Rosana hmela
Posted: 29 November 2012 13:19:02(UTC)
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Joined: 29/11/2012(UTC)
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Can I cash in my works pension early ? This question comes in every job holder when he need money before retirement. Some jobholders got and some don't. Then next question is Why some job holders does not get cash before there retirement. The pension policy of every company is different its totally depends on the company's pension policy. You can get the answer by read your company's pension policy.
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