Help pension 2012 onwards

[thebigone]

Gone for section 1a
Do I add the sums up for lump sum amount?

[RobertT]

Are you referring to the £8,778 and £9,909? It's not clear from either the photo or your post!

If so, the £8,778 will be tax free. The £9,909 will be paid as a Uncrystalised Funds Pension Lump Sum, which means the first 25% of that will also be tax free with the remainder being classed as income and coming under normal PAYE tax rules.

[thebigone]

Can you tell me how much will that be in lump sum?
When take percentage off

[RobertT]

25% of £9,909 = £2,477.
The remaining £7,432 will be taxed. Assuming it's the normal 20% rate, then you'll lose £1,486.

So in total: £8,778 + £2,477 + £5,946 = £17,201

[thebigone]

What should my lump sum be,
Iv just added old pension?

[RobertT]

Just add up the numbers from NRA60 & NRA65! Simples!

[thebigone]

Not sure which too add up
Struggle things like that

[RobertT]

Only you know which option you've chosen for NRA60. I haven't got a clue!

You've ticked option 2A, so it could be the £14,151. Or else it's £1,134 for option 1A.

[spaceman07]

Not sure which too add up
Struggle things like that

How many years you done mate? Can you do a retake of that first photo?

[thebigone]

25 years

[spaceman07]

What happens to the cash balance fund on option 2 NRA65? You have to cash that in if you choose to take your NRA65. So where is it because the lump sum showing on option 2 is just your pension not including the cash balance?

[NorthernBoy]

Looking at those figures I see that the pension to lump sum rate for nra 60 is 25 and 28 for nra65. These seem a bit higher than what we normally see.

These look decent conversion levels to me and would suggest they are encouraging you to take the lump sum.

However as always you takes your money and makes your choice…

[RobertT]

What happens to the cash balance fund on option 2 NRA65? You have to cash that in if you choose to take your NRA65. So where is it because the lump sum showing on option 2 is just your pension not including the cash balance?

It is possible to transfer out the DBCBS to a personal pension and so access it independently of taking NRA65 benefits.