IFA please - impaired life annuity required

[Broomsticklady]

As the title really - I've got stage 4 breast cancer, have got my final salary pensions early, but also have a small fund (15K) which I accrued while contracting. Obviously it's a pittance but I'd like to make it as big a small pittance as I can (and release the 25% tax free towards a holiday while I can!).

I know there are some IFAs here - anyione fancy helping me out with some quotes please - I know you need more detail hich I'll happily provide with PM.

Nina

[ukshooter]

Hi Nina, I can email you a form if you like which then goes to all the Impaired Annuity providers to quote on.

It's not something I do a lot of but my experience is they take their time coming up with the numbers as they need to get in all the medical evidence before offering a quote.

There may well be members here that do them all the time that can help, but if not email me and I will get on it.

Regards,

Ian

[Ginge R]

Nina,

Sorry to hear your news. The bottom line from a financial perspective is, just how rough is the prognosis? There are some pension funds that will release the entire pension fund early, upon receipt of a suitably qualifying medical note (see para 4 - attached) - you might not need to go down the annuity route at all.

http://www.pensionsadvisoryservice.org.uk/personal...

Any questions, please don't hesitate to shout out.

[Broomsticklady]

Thanks guys - Ian - you have PM - I hope!

Oncologists and prognoses - mmm! I - as in tailored for me personally haven't been given a prognosis. the best I couold get when I asked was 'the average life expectancy for secondary breast cancer is 2 to 3 years, possibly more for bone mets only'. For now, I have a reasonable number of bone mets in my skull, spine and sternum, but nowhere else - but...!

I do have a 3mm unidentified nodule in my lung which will be rescanned in the New Year, and I get the impression basically if it's bigger it's a lung met, have some more chemo - joy!

N

[Kudos]

Would this not qualify as a "small pension" which I believe you can then cash all of it in? I think justification is that to manage the small payments would be more hassle than it's worth.

I recall something similar with my mum who only worked a few hours per week and her contributions never got that much, so she was able to cash the lot in with no penalty when she retired.

[Ginge R]

The 'triviality' rules only apply from the age of 60 (I'm assuming Nina's Ginetta puts her a little under that?!), up to a total fund value (currently) of £18000. If Nina did cash-in under triviality rules though, 25% of the cash paid would be tax-free, but with the balance treated as taxable income.

[anonymous-user]

You just have to love Ifa's,

I would like to put them all in a boat and sink it miles from land in shark infested water so they got a taste of their own medicine. Only a personal opinion of course as some ' terminal' illnesses are not short enough for them.

Sorry to drift off topic Broomstick as you were :/

[Broomsticklady]

Ginge R said:

The 'triviality' rules only apply from the age of 60 (I'm assuming Nina's Ginetta puts her a little under that?!), up to a total fund value (currently) of £18000. If Nina did cash-in under triviality rules though, 25% of the cash paid would be tax-free, but with the balance treated as taxable income.

Thank you thank you thank you - I'm a lot under 60 - indeed 'nearly 50' in my husbands guide book - just from the wrong side... 53! Cos I was a 40% tax payer before I retired, and given my income this year until I retired, the 75% would be taxed at 40% anyway - so it's impaired life annuity I think.

Ian - I've heard nowt from you - I used your website contact me.

If anyone's interested, we now have the original racing G32 turbo as well as Roger - complete with James Bond button for overtaking / aiming at timing beam but use with care for up to 10 seconds if you're brave enough - must update my profile before I go...

[Ginge R]

Ok. And the car sounds good.

One more thing springs to mind though, and it'll depend on your other personal/financial/family circumstances - have you looked at the pros and cons of a Family SIPP? Not for everyone, possibly not for you in this case, but in the interests of completeness if nothing else, it might be worth a look at?

[ukshooter]

Nina, I have sent you an email, been on a course this week with pc problems.

Will have something winging its way to you shortly!