Can I cash in my pension under 55?
Would you like the idea of getting £1000’s from your pension under 55? Can you really release CASH from your UK pension? The short answer is yes! There could be some tax implications though, but we can help answer any of these questions for you. Can I cash in my pension under 55 is the most popular question we get here at sellpension.co.uk. We recently conducted a poll across all of our clients and in that poll we asked what is the single most popular reason why you would like to cash in your pension? 78% our clients asked us; ‘can I cash in my pension under 55’ that is quite a staggering number! The UK faces redundancies all the time from companies that either go bust of UK companies are no longer make the profit they once were, so this put your pension at risk!
What is the most popular reasons people cash in their in pension under 55?
- Have lost their jobs and recently been made redundant
- Pay off debt
- Pay off mortgages, bills or other household bills
- Start a business
- Pay for a wedding
- Pay for a holiday
- Pay for a car
How can you cash in your pension under 55?
There are many ways you can cash in a UK pension under 55. However, the UK government would like to have their say! If you want to cash a pension early you will more than likely face a tax bill for drawing your pension early. Normally the tax bill can be as high as 55%, but there are certain circumstances that can allow you take your pension under 55 without paying a UK tax bill if you face the following:
- Deathbed planning
- Ill health
- Early retirement and no longer to work
So the short answer to this question is yes it is possible to cash in a pension under 55. There are number of key questions that need answering before making sure you can cash in a pension under 55 thoough, and these key questions you need to ask yourself is:
- What type of pension policy do you have?
- How long have you had your pension for?
- Are you still receving or drawing on your pension?
- Do you have a UK pension?
What type of pensions can you cash in under 55?
The main and most important thing to be able to cash any pension in the UK is that it has to be a UK pension! If you are a ex-pat but have a UK pension then that is also possible for you to cash that in also. You can cash in most pensions under the age of 55, but the best polices to cash in are the following UK pension polices:
- Private pension
- Personal pension
- Company pension
- Group pension
Can you or I cash in my pension under 55?
Are you still wondering if you can cash in your pension under 55? there are so many scare stories out there so make sure you still take professional advice about what you can and cannot do – contact us anytime to discuss your pension pot in more detail.