Cash balance

[SeanMc]

You have a good memory Robert! I left RM in April and was hoping my redundancy would last until I'm 60 in April next year. Although now half way through that period everything still looks good I have just requested a new quote which would include increases to my AVC's and DBCBS (around £10k if my last day of service summary letter is correct). I'm really concerned about the budget in November and my birthday just days away from the new tax year so any delays could put me into 2026/27 and any budget changes "could" also be from 26/27 tax year. I recognise there are a lot of "could" there but I expect to have a combined (NRA60/65) tax free figure in the ball park of £200k (inc a small element of UFPLS where my DBCBS amount is more than the tax free element of NRA65) and if there is even a slight chance of some of that becoming taxable it would screw my plans now I have retired. I'm hoping taking NRA 60 three months early will help this.....although I still need to consider whether I take the NRA65 funds at the same time........I can't believe I planned this well for almost 40 years and I now have to second guess the last few months.

Yes, you've gone from wanting to make sure you get your pension in the 26/27 tax year to save some tax, as you said in this thread a few months ago. To wanting to take your pension before 26/27 starts, to save some tax.

My personal opinion on this hasn't changed since we last wrote about it – I don't think the tax free limit will be reduced in the budget!

There's lots of other ways RR can raise more money and if she's got her eyes on pensions, the biggest windfall open to her is to abolish higher rate tax relief. Which I read somewhere costs the government about £15 Billion a year.
Plus, any changes might not be from April 2026 anyway.

I can understand the concern as I'm likely to be affected too if the limit gets reduced down to some of the figures mentioned in the press. Unfortunately all we can do is wait and see what happens...

Wise words.......thanks. The reason for the change of approach (other than the budget) is I didn't factor in the 16 week (or so) delay to receiving the UFPLS fund (some of which is taxable for me) so although my current approach would give me funds in this tax year the actual tax payable will only be on the monthly pension amounts for Jan-March.


I have just received my Confirmation of Payment letter for my NRA65 benefits and it says that the UFPLS will be paid with the first monthly pension payment. So no 16 week wait.

Thanks......did you take it early or at 65?


NO i am taking it at 65