The Ultimate Guide to Pension Retirement Options
Vložit
- čas přidán 27. 06. 2024
- When you get to the point of retirement, there are a bewildering array of options available to you, particularly regarding pensions. In today’s episode, I’ll be giving you everything you need to KNOW and everything you need to DO to make good choices at retirement.
SHOWNOTES: meaningfulmoney.tv/UG9
CHAPTERS:
00:00 - Intro
03:04 - Everything you need to KNOW
03:23 - How the State Pension works
07:03 - How DB Pensions work
10:49 - How DC Pensions work
17:38 - Everything you need to DO
17:51 - Understand your pension provision
20:01 - Establish your cashflow needs
21:21 - Match cashflow to expenditure
24:01 - Beware the Danger Zone
25:02 - Keep taxation in mind
26:59 - Keep an eye on the Lifetime Allowance
29:18 - Summary
29:51 - Meaningful Academy launch
31:13 - Review
32:23 - Outro
These videos are some of the best on the planet (for a UK based person), the knowledge is superb, if I could afford an IFA I fear how much they would charge, yet this info is available on this channel for free, quite superb and the effort taken to produce must be considerable, well done to you Pete
Very kind, Kat - I appreciate it!
Agree 👍🏼
Informative video and content uncle Pete, thanks for producing.
Thanks Pete. Great video as always. Looking forwards to the next in the series.
Oh how I wished I had found your channel sooner, but as they say better late than never ;} Great video, super informative and easy to understand. Thank you :)
Really glad I stumbled across your channel. Your presentation is so informed and articulate. Looking forward to viewing more and I've also subscribed to your Podcast 👍
Very kind, Simon - great to have you onboard!
Pete, Just discovered your channel. Retired early last month after a lot of soul searching and DIY planning. Your videos are very clearly constructed and presented, in a pragmatic, unbiased way. Wish I’d found you earlier. Thankfully, your videos have been mostly reassuring, but also revealing a few nuggets resulting in subtle adjustments to my financial plans. Wanted to thank you for the high quality content and wish you all the best with your channel. With the COVID pandemic having caused many to re-evaluate their life options, I suspect your client book will be growing healthily.
Really appreciate that, Mansun 69, thank you?! 🙏🏻
Thanks! It's a very useful video!
Just found you and subscribed , I listen to multiple podcasts whilst driving for work overnight , loving them and learning loads thank you 😊
Great to have you onboard, Andrew!
Pete you are amazing! Please keep up the good work! :)
Would love an episode of the different platforms of ISA and how they compare like the Lang Cat report you mentioned in your book (if you are allowed to of course)
If you have any excel template that would be great as well!
Pete, as someone studying with CII (currently on R04) I find your content increadibly useful. Thanks for everything you do!
Great to hear! Thank you!
Thank you.just subscribed but have always found your videos and podcasts very helpful. Also just bought your book. Just about to take a small DB pension a few years early. I get more payments with 6% reduction. But will use the extra payments to buy Class 3 contributions I need for the full New state pension (top up is worth more than the DB pension I give up). So it’s win-win.
Nice one Pete!! It really is a complex area with so many options and so many names for the same product!! 🤔
Sure is, Edmund - glad it was helpful for you!
Loving this content. Not just for the outstanding financial advice, but as a fellow CZcamsr I appreciate the quality of the content in terms of construction. All in all a valuable use of my time! Keep it going!
Thank you! What’s your channel?
Really enjoying and taking a huge amount from these videos. I've arrived years later than I should but I'm so glad that I'm here now. Early retirement is looming thanks to Long Covid and my being medically unfit for my job. All the information I have gathered so far from the series has calmed the old nerves and eased anxiety about the future for my wife and I. On a side note, I've just noticed that this video was uploaded at the time when I was testing Positive for Covid. I'll take that as a good omen :) All the best.
I wish you all the best 👍🏻
thanks Pete, even though I have some clear ideas about retirement you've got me considering wider options and strategies. just need to master investments now..
Plenty of content in that subject too, Eddie - great have you watching! 👍🏻🙏🏻
Hi a video on kid key information document for funds and their risk numbers would be good 👍 would you say a fund with a number 3 would be a good bet for a less than 5 years investment?
Do you feel Pete, bearing in mind likely tax increases, that the triple lock is bound to be abandoned for more affordable increases?
Is it possible to do a video on the plus sides of using SIPP for IHT planning I am a 40% tax payer from self employment and from investment income I pay all of my self employment earnings into SIPP and it is my intention only to take the Taxfree Cash and leave the rest of the funds to my grandchildren and this has tax advantages I haven't seen this aspect of IHT planning with the use of a SIPP I understand that SIPP funds are ring fenced from bankruptcy god forbid if it were to happen in business just look at COVID and the number of business which will go under I belive SIPP has a lot more advantages but are seldom covered
hi, you mentioned people have to report to HMRC when the selling amount reached to £49200 even the profit is less than £12300 in your previous video. Does this include the selling in the ISA account? Thanks
Nope. Never any CGT from sales within ISAs.
Crystallized? Zones stranger than Our tangled web of taxes and Fees?
Be interested to know your opinion on 'With Profits Retirement Annuity Contracts' Pete? Looking what to do with mine from the Pru - to say it's opaque is an understatement, the details, especially regarding 'possible' final/terminal bonus seem to be veiled in mystery! Unfortunately it doesn't have a GAR - but they've always made much of it's 'guarantees' - by which I think they mean the 'minimum income.' - and how I was able to 'lock into' favourable conditions available in the 1980's when the contract commenced?!? However, it seems annuity wise it would be no more than what's available on the open market. Person I last spoke with at the Pru admitted even she didn't understand the letter sent attempting to clarify the 'possible' bonuses - and worryingly remarked it would be difficult finding anyone amongst their staff who was an 'expert' on the with profits retirement annuity. She also 'suggested' that any possible final/terminal bonus would have been incorporated into past 'illustrations,' - which seems odd given literature over the years which seemed to claim it could only be known at the time of the 'final quote.' Any thoughts you may have will be gratefully received!
Lots to unpack here, Robert. These old contracts are opaque. Remember that guarantees are only valuable if they are so to you in your circumstances. For example, I’ve seen guaranteed annuity rate that only apply on single life - not much benefit if the guy has a wife with no pension provision and he dies first.
I would try to cut through the opacity by asking straightforward ‘in the now’ questions like ‘how much income will this pay out to me now?’ And ‘how much will there be if I transfer out’ so you can truly compare with the open market.
Tread carefully when considering switching from this to a flexible-access drawdown - that’ll be like comparing apples and oranges.
Any further help, you can always message me via the contact page at MeaningfulMoney.tv
@@MeaningfulMoney Thanks very much Pete, that's reallyy kind - you're a good man! I'll do as you suggest and ask the questions you suggest!
If I had known years ago that know now I would not have done a pension but some other investment to save for old age because I am in America and my pensions are stuck in the uk
Nothing stopping you taking them - just get in touch with your providers - they’ll pay you out no problems
@@MeaningfulMoney countless times via email they have said I can't have the funds because I an not retirement age even though I have explained my position
Thinking of transferring pot to a no risk fund ,for remaining year ,it does not have to acrue anything ,any tips
Tips? No. Keep it in the bank or BS where it's safe. Anything else is madness.
@@PeteMatthew hi ,it’s currently with prudential at moment ,and has just gone up by 8000. £ ,I’m happy with amount ,do u think I should just keep with prudential,appreciate your time
Can’t say that, Bob, as to do so could constitute advice. If you’re happy then fine.
I have a question which I can’t find an answer to but can you take the 25% tax free at 55 but continue to pay in your normal contributions?, this for a DC pension not DB, have no desire to stop work but would like the option of taking the tax free lump but carry on paying in my normal contribution
Thanks and your vids are great 👍 especially the old ones when we were allowed out side
Kev
@@MeaningfulMoney thank you for that
I suppose I could just start another pension and then use this one but then I have to pay the tax on the payments!
It’s a minefield !!!
Thanks again
@@kevinlong6482 Sorry Kevin, I should correct my previous answer as I've just re-read it and spotted that you only asked about taking tax-free cash.
If you ONLY take out tax-free cash and don't take any taxable income/withdrawals from your pensions, then the MPAA does NOT apply and you can keep paying into your pensions at the current rate.
The second you take a taxable penny out of a DC pension, then the MPAA applies to ALL pensions, not just the one you've crystallised.
Does that make sense? Sorry for confusing you! (I've deleted the previous answer as it is misleading)
@@MeaningfulMoney no need to apologise I am grateful for you taking the time to reply
That makes perfect sense
Thanks for the clarification and keep the vids coming!
Best wishes
Kev
Still trying v to decide pension or lump sum? Fixed $1840 No COLA orump su. Of $236K
I live in USA,, talking private pension will wait until 70 for Soc Security
Not sure I can help you too much, Joseph - the UK system sounds VERY different!
Pete great video I never thought about pensions until recently. My goal is to retire or semi retire at 57 and spend time in Spain time and in UK. Do you think I could retire or get a part time job in UK in summer with a figure of 250000 please thanks pete Ps I have hit my 35 years been working since 15
That’s an unanswerable question Stephen! Whether or not £250k is enough depends on the money going OUT each year! If you have decent controls on your spending then yes, it could be enough, but seek advice from a financial professional if in any doubt.
@@MeaningfulMoney Pete thank you so so much for all your fantastic videos. I'm learning so much from all off them cheers
4 mins in before he sort of starts.....
Man.... so much editing out required....
Nobody cares what "season and episode" it is. Google does not either so you wasted 30 plus seconds of critical SEO keywords talking about stuff that's not helping the video viewer or anyone else in being able to find your video .