Private pension

[RedRich]

I have a small private pension from years ago and as im now 55 i wondered what my options are? Does it have to be taken in conjunction with my Royal Mail pension or could i just cash it in?

[RobertT]

You can usually take private pensions any time after age 55, and it will have nothing to do with any other pension you may have.

Although there are sometimes conditions that might make it a bad idea. Particularly if it has a Guaranteed Annuity Rate(GAR) attached to it, they can be very generous over the long term, but it often means not having access until 60 or 65.
Older private pensions from the 80's can often have GAR's - your paperwork should tell you if that's the case.

This link will give you your options as to how you can access your money(assuming no GAR): https://www.moneyadviceservice.org.uk/e ... on-schemes

Bear in mind that however you decide to access it, only 25% of the balance is guaranteed to be tax free, with the remainder classed as income and taxed under normal PAYE rules.

[RedRich]

Thank you, that's very helpful.