Discussion
Hi
Not sure if this is a daft idea..
Parent is about 2 years from retirement and has a pot of 10k sitting in a stocks isa not doing particularly well
Is a basic rate tax payer at present.
Is it worth transferring the money from isa into SIPP for the 20% tax back.. and then pulling the lot out as a lump sum come retirement ? Or is that mad/impossible.
Additional info is that spouse is deceased so parent is getting their pensions for now and being taxed on them but doesn't really need that income right now.
I figure a sipp might be a way to defer that tax, plus get a lump on the 10k.
Another pension kicks in on retirement proper but I doubt it'll push said parent over 10k per annum even with state pension.
Thanks
Mike
Not sure if this is a daft idea..
Parent is about 2 years from retirement and has a pot of 10k sitting in a stocks isa not doing particularly well
Is a basic rate tax payer at present.
Is it worth transferring the money from isa into SIPP for the 20% tax back.. and then pulling the lot out as a lump sum come retirement ? Or is that mad/impossible.
Additional info is that spouse is deceased so parent is getting their pensions for now and being taxed on them but doesn't really need that income right now.
I figure a sipp might be a way to defer that tax, plus get a lump on the 10k.
Another pension kicks in on retirement proper but I doubt it'll push said parent over 10k per annum even with state pension.
Thanks
Mike
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