Pension application

[Splodge182]

Wanting to take a lump sum out of my pension at 55 been sent a form that looks like it's for payment pension. Is there a different one requesting a lump sum estimate or can you advise me how to fill it in. Thanks

[RobertT]

Whether you can do as you want will depend on which scheme you are in?

If you’re in the RMPP sections A, B or C:

It is not possible to take a lump sum(max 25%) and leave the residual pension where it is. You have to take it all at the same time. But you can take the NRA60 & NRA65 separately. Full info in the library section of the RMPP website: http://www.royalmailpensionplan.co.uk/" onclick="window.open(this.href);return false;

However you may have heard about ‘pension freedoms’, which allows some pensions to be taken all as cash! Info: https://www.pensionsadvisoryservice.org ... and-choice" onclick="window.open(this.href);return false;

Our pensions up to 2012 are now paid for by the government – this does not come under the pensions freedom legislation.

From 2012 onwards is RM’s responsibility and this part can be taken all as cash if you choose. Info: http://www.royalmailpensionplan.co.uk/s ... erring-out" onclick="window.open(this.href);return false;


Or, if you’re in the RM Defined Contribution Plan:

You can take either 25% tax free and leave the rest, or take it all as cash.
RMDCP info: https://www.zurich.co.uk/internet/works ... 714073.pdf" onclick="window.open(this.href);return false;

General DC pension info: https://www.moneyadviceservice.org.uk/e ... on-schemes" onclick="window.open(this.href);return false;