Pension Transfers
Discussion
I have a couple of old pensions and a current workplace pension with Aviva that has a "Protected" age of 55.
I had a chat with them this morning that confirms that I can transfer other pensions in and access the lot at age 55.
With all the uncertainty about the Government increasing NMPA that seems a little too good to be true.
Am I likely to be missing anything here?
I had a chat with them this morning that confirms that I can transfer other pensions in and access the lot at age 55.
Aviva said:
Can members transfer into their Unisure GPP or OIS /Adviser Platform plan to take all of their benefits at age 55?
Yes they can. If their plan was in place prior to 4th November 2021 they have the ability to transfer in benefits from an age 57 plan, prior to age 55, and take all benefits at age 55.
There is no time limit on this. They could transfer in on the day before they take their benefits, and take them all before age 57, even if this is after 5th April 2028.
The way I read this is I can sit on my hands and do nothing with earlier pensions or I could transfer them to Aviva now or I could transfer them to any other SIPP provider and so long as they are in the Aviva "pot" when the time comes I could access the benefits at 55 if I wanted to.Yes they can. If their plan was in place prior to 4th November 2021 they have the ability to transfer in benefits from an age 57 plan, prior to age 55, and take all benefits at age 55.
There is no time limit on this. They could transfer in on the day before they take their benefits, and take them all before age 57, even if this is after 5th April 2028.
With all the uncertainty about the Government increasing NMPA that seems a little too good to be true.
Am I likely to be missing anything here?
I'll check and confirm but they're mainstream providers so hopefully not.
I was more amazed that it reads like I could (for example) open a cheap SIPP somewhere and transfer everything into that where it has an age of 57 but so long as I then transfer that to Aviva in time I can access it at 55 as it's a "protected" age (seems "protected" is a very specific magic word in pension land).
I was more amazed that it reads like I could (for example) open a cheap SIPP somewhere and transfer everything into that where it has an age of 57 but so long as I then transfer that to Aviva in time I can access it at 55 as it's a "protected" age (seems "protected" is a very specific magic word in pension land).
Depending on your age it will be 57 with most schemes from 2028 onwards.
So whilst you're quite right from a pure cost and choice perspective if you open a SIPP (or any pension) today and you were born after 1971 (I think it's 1971) you won't be accessing it until you're 57.
Which means having something that lets you transfer in from other pensions but keep the right to access the whole lot @ 55 seems worth taking advantage of.
And that's assuming it doesn't change again.
So whilst you're quite right from a pure cost and choice perspective if you open a SIPP (or any pension) today and you were born after 1971 (I think it's 1971) you won't be accessing it until you're 57.
Which means having something that lets you transfer in from other pensions but keep the right to access the whole lot @ 55 seems worth taking advantage of.
And that's assuming it doesn't change again.
That's the point though, my birthday means I'd fall into the 57 (or anything else the Government increase it to) regs unless my pension has a protected age of 55 which the Aviva one does.
And money transferred into it also inherits that protected age even if the scheme it comes from doesn't have a protected age.
Which on the face of it seems too good to be true hence I'm suspicious there's a catch
And money transferred into it also inherits that protected age even if the scheme it comes from doesn't have a protected age.
Which on the face of it seems too good to be true hence I'm suspicious there's a catch
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