How To Cash In A UK Pension Early?
How to cash a pension is something that requires the right type of UK pension. Many years ago, about 15 years ago there was no route for you to cash in your pension before the age of 55. However, pensions in the UK has evolved and you can now actually cash in your before 55! Not many people actually realise this in the UK. If you are over 55 then you could cash in your pension whilst then paying 25% tax free cash. You would still be liable for tax if you want to cash in your pension over the age of 55. There are now route available where you can cash in your pension under the age of 55. However, and most UK pension polices do not realise this, but you could indeed face a tax bill of over 55%! Yes, that is correct, imagine if you had to pay a whopping 55%+ tax bill?! Despite the potential huge tax bill that UK pension polices could face, it is still the most popular question we always get asked here at Sellpension.co.uk.
Most popular reasons why people ask; ‘how to cash in a pension’?
- To pay of debts
- To pay off my mortgage
- To help support university and tuition fees
- To help start a business
Following steps to can be used to cash in your pension:
- You must have a UK pension policy
- You must be prepared to pay a tax bill if you want to cash a pension in
- You need to contact your pension provider
- You must be prepared to wait about 3- 5 months to receive you pension cash
- You must then pay your tax bill
How to cash in your pension; overview
So you want to know how to cash in your pension? Well, we are can help explain all the pitfalls and make you aware of all the things you need to be made aware of, unfortunately in the UK there are pension scams that you could end up being mixed up with. Here at sellpension.co.uk we are expert pension cash experts with over 40 years pension experience behind us.
What type of pensions can you cash in?
This is such a common question in the UK. We have listed the most popular pension that people use to cash in their pensions, here is are the most popular:
- Private pension policy
- Company pension policy
- Old ‘forgotten about’ or other wise known as a frozen pension
- Personal or ‘self invested’ pension polices