Lump Sum Withdrawal
[fusion_builder_container background_color=”” background_image=”” background_parallax=”none” enable_mobile=”no” parallax_speed=”0.3″ background_repeat=”no-repeat” background_position=”left top” video_url=”” video_aspect_ratio=”16:9″ video_webm=”” video_mp4=”” video_ogv=”” video_preview_image=”” overlay_color=”” video_mute=”yes” video_loop=”yes” fade=”no” border_size=”0px” border_color=”” border_style=”solid” padding_top=”130px” padding_bottom=”130px” padding_left=”” padding_right=”” hundred_percent=”no” equal_height_columns=”no” hide_on_mobile=”no” menu_anchor=”” class=”” id=””][fusion_builder_row][fusion_builder_column type=”2_3″ layout=”2_3″ last=”no” spacing=”yes” center_content=”no” hide_on_mobile=”no” background_color=”” background_image=”” background_repeat=”no-repeat” background_position=”left top” hover_type=”none” link=”” border_position=”all” border_size=”0px” border_color=”” border_style=”” padding_top=”” padding_right=”” padding_bottom=”” padding_left=”” margin_top=”” margin_bottom=”” animation_type=”” animation_direction=”” animation_speed=”0.1″ animation_offset=”” class=”” id=”” min_height=””][fusion_text]
LUMP SUM WITHDRAWAL – FREEDOM TO CHOOSE
[/fusion_text][fusion_separator style_type=”single solid” top_margin=”0″ bottom_margin=”35″ sep_color=”#e2e3e8″ border_size=”3px” icon=”” icon_circle=”” icon_circle_color=”” width=”170px” alignment=”left” class=”” id=”” /][fusion_text]
The pension reforms of 2015 were introduced to offer more choice and flexibility on what we can do with our pension savings if we�re aged 55 or over. This includes different options for tax-free lump sum withdrawal.
There has always been the option to take 25% of your pension pot tax-free, but with the new pension changes, you can now take your whole pension pot in one go.
[/fusion_text][fusion_text]
You now have many options available�to you:
Leave your pension invested if you don�t�need to take money straight away
Take the tax-free cash and leave the�rest invested
Take some or all of the money as a cash�lump sum
Buy an annuity to provide a lifetime�s�secure income
Use a combination of the above
[/fusion_text][fusion_text]
Taking your whole pension fund as a cash lump sum withdrawal is the biggest change to come out of the 2015 pensions changes, so what does it all mean? The pension changes mean you can access your pension fund as and when you like from the age of 55 (rising to age 57 in 2028). One option is to take the whole pension pot in one. However, it�s important to remember that the first 25% of your pension pot is tax-free, and you will pay Income Tax on the remaining 75%.
Have you considered all the potential costs of retiring? Some people find their expenses fall once their working life ends, but it�s important not that assume that all your expenses will go down � some may increase, such as heating and leisure costs.
INCOME TAX CHARGE
Taking your entire pension as cash could involve�a high tax charge. There is a standard Personal�Allowance (�11,000 for 2016/2017) on which no Income Tax is paid but above this amount, tax�is paid on your total income. Currently, the�tax bands are 20%, 40% and 45% depending on your income. So, any cash you take out of your�pension (except for your tax-free lump sum) is�added to your income for the year and may well push you into a higher rate tax band.
There are added risks you need to consider, such as:
Paying too much tax on pension withdrawals
Buying unsuitable investments
Using all of your funds too fast
[/fusion_text][fusion_text]
MAKE AN INFORMED DECISION
Using your pension money now could help your finances but also affect your future. It�s important to receive expert financial advice so that you make an informed decision. Whatever you choose to do, it�s important to understand the tax implications and consider all your pension options to avoid any unnecessary tax bills. If you would like to review your options, please contact us.
[/fusion_text][/fusion_builder_column][fusion_builder_column type=”1_3″ layout=”1_3″ last=”yes” spacing=”yes” center_content=”no” hide_on_mobile=”no” background_color=”” background_image=”” background_repeat=”no-repeat” background_position=”left top” hover_type=”none” link=”” border_position=”all” border_size=”0px” border_color=”” border_style=”” padding_top=”” padding_right=”” padding_bottom=”” padding_left=”” margin_top=”” margin_bottom=”” animation_type=”” animation_direction=”” animation_speed=”0.1″ animation_offset=”” class=”” id=”” min_height=””][fusion_imageframe image_id=”915″ style_type=”none” stylecolor=”” hover_type=”zoomin” bordersize=”0px” bordercolor=”” borderradius=”0″ align=”right” lightbox=”yes” gallery_id=”” lightbox_image=”” alt=”” link=”” linktarget=”_self” hide_on_mobile=”no” class=”” id=”” animation_type=”fade” animation_direction=”down” animation_speed=”1.0″ animation_offset=””]https://www.2020financial.co.uk/app/uploads/2015/07/True-potential-computer_square.jpg[/fusion_imageframe][fusion_section_separator divider_type=”curved” divider_position=”left” divider_candy=”top” icon=”” icon_color=”” bordersize=”” bordercolor=”” backgroundcolor=”” hide_on_mobile=”small-visibility,medium-visibility,large-visibility” class=”” id=”” /][fusion_content_boxes layout=”icon-with-title” columns=”1″ title_size=”” title_color=”” body_color=”” backgroundcolor=”#0763a5″ iconcolor=”” icon_circle=”” icon_circle_radius=”” circlecolor=”” circlebordersize=”” circlebordercolor=”” outercirclebordersize=”” outercirclebordercolor=”” icon_size=”” icon_hover_type=”” hover_accent_color=”” link_type=”” link_area=”” link_target=”” icon_align=”left” animation_type=”” animation_delay=”” animation_offset=”” animation_direction=”left” animation_speed=”0.3″ margin_top=”50″ margin_bottom=”50″ hide_on_mobile=”small-visibility,medium-visibility,large-visibility” class=”” id=””][fusion_content_box title=”Request your custom review” backgroundcolor=”” icon=”” iconflip=”” iconrotate=”” iconspin=”no” iconcolor=”” circlecolor=”” circlebordersize=”” circlebordercolor=”” outercirclebordersize=”” outercirclebordercolor=”” image=”” image_width=”35″ image_height=”35″ link=”” linktext=”Read More” link_target=”” animation_type=”” animation_direction=”left” animation_speed=”0.3″ animation_offset=””]
Talk to one of our advisors today and set up a no-obligation meeting to discuss your investment options.
[fusion_button link=”https://form.jotformeu.com/71861645984369″ title=”” target=”_self” link_attributes=”” alignment=”” modal=”” hide_on_mobile=”small-visibility,medium-visibility,large-visibility” class=”” id=”” color=”default” button_gradient_top_color=”” button_gradient_bottom_color=”” button_gradient_top_color_hover=”” button_gradient_bottom_color_hover=”” accent_color=”” accent_hover_color=”” type=”” bevel_color=”” border_width=”” size=”” stretch=”default” shape=”” icon=”” icon_position=”left” icon_divider=”no” animation_type=”” animation_direction=”left” animation_speed=”0.3″ animation_offset=””]REQUEST CALLBACK[/fusion_button]
[/fusion_content_box][/fusion_content_boxes][/fusion_builder_column][/fusion_builder_row][/fusion_builder_container][fusion_builder_container hundred_percent=”no” equal_height_columns=”no” menu_anchor=”” hide_on_mobile=”small-visibility,medium-visibility,large-visibility” class=”” id=”” background_color=”” background_image=”” background_position=”center center” background_repeat=”no-repeat” fade=”no” background_parallax=”none” enable_mobile=”no” parallax_speed=”0.3″ video_mp4=”” video_webm=”” video_ogv=”” video_url=”” video_aspect_ratio=”16:9″ video_loop=”yes” video_mute=”yes” video_preview_image=”” border_size=”” border_color=”” border_style=”solid” margin_top=”” margin_bottom=”” padding_top=”” padding_right=”” padding_bottom=”” padding_left=””][fusion_builder_row][fusion_builder_column type=”1_1″ layout=”1_1″ spacing=”” center_content=”no” hover_type=”none” link=”” min_height=”” hide_on_mobile=”small-visibility,medium-visibility,large-visibility” class=”” id=”” background_color=”” background_image=”” background_position=”left top” background_repeat=”no-repeat” border_size=”0″ border_color=”” border_style=”solid” border_position=”all” padding_top=”” padding_right=”” padding_bottom=”” padding_left=”” dimension_margin=”” animation_type=”” animation_direction=”left” animation_speed=”0.3″ animation_offset=”” last=”no”][fusion_tagline_box backgroundcolor=”” shadow=”no” shadowopacity=”0.7″ border=”1″ bordercolor=”” highlightposition=”left” content_alignment=”left” link=”” button=”” linktarget=”_self” modal=”” button_size=”” button_type=”” button_shape=”” buttoncolor=”default” title=”” description=”” margin_top=”” margin_bottom=”” hide_on_mobile=”small-visibility,medium-visibility,large-visibility” class=”” id=”” animation_type=”” animation_direction=”left” animation_speed=”0.3″ animation_offset=””]If you’d like to speak to a Financial Adviser call us on�02380 981161 or send us an email at [email protected][/fusion_tagline_box][/fusion_builder_column][/fusion_builder_row][/fusion_builder_container]