Take it or

[Chelseablue]

Hi , is it worth taking your pension early , lump sum etc if you really dont need the money right now? Or better taking it putting 20k in a Isa to earn interest ? Finding it all a minefield

[Sean06]

Hi , is it worth taking your pension early , lump sum etc if you really dont need the money right now? Or better taking it putting 20k in a Isa to earn interest ? Finding it all a minefield

Its only really yourself who can answer that.but my own view is why take it early if you don,t need it.no point in losing whatever % depending on your age.

[Chelseablue]

Kinda thinking that too. Lots to think bout with it all

[Wullie10]

If you lose say 25% of a lump sum then you'll need a hell of an ISA to get that money back. It's not a minefield at all. If you don't need the money then leave it alone.

[Chelseablue]

Cheers wullie

[NorthernBoy]

No right or wrong answer as everyone’s situation is different.

Yes lump sump will be reduced, but you will have the money now and be can either spend it or earn interest.

Have a think about when you want to retire and work out what monthly income you need. Then factor in how much you would get from the pension at different ages and if you have any other income sources.

[renrag40]

The logic I used to talk myself out of taking it early was..... where would I get 5% + RPI a year risk free on the money if I took it early?
In my case for the nra 60 pension, I would have got a yearly pension of £5,500 and a PCLS of £33,000 at age 55.
When I took it at 60 I got a yearly pension of £9,500 and a PCLS of £63,000.
So for me it really has paid off to leave it until I reached the nra60.
But as others have rightly said...... there is no right or wrong answer. It depends on your personal circumstances.

[Walter sobchak]

Hi , is it worth taking your pension early , lump sum etc if you really dont need the money right now? Or better taking it putting 20k in a Isa to earn interest ? Finding it all a minefield

Have you thought about premium bonds?

[comeracing]

Take it I will at 55 , your could be dead at 65 , ive been investing in gold the last 4 years ,that's the way to go ,forget isa or premium bonds .

[Sean06]

Take it I will at 55 , your could be dead at 65 , ive been investing in gold the last 4 years ,that's the way to go ,forget isa or premium bonds .

You could be dead before your 55.

[Dorset Plodder]

Years ago I asked one of our old boys (in a previous job) who I considered to be a savvy customer, ''If you had another chance would you pump more into a pension, or would you spend it when you were younger''

His reply might sound simplistic but it made sense to me at the time. ''The way I look at it son you Save a little and you Spend a little''

I should of course point out at this stage that you should seek advice from a Qualified Independant Finacial Adviser LOL.

[NWpostie]

Years ago I asked one of our old boys (in a previous job) who I considered to be a savvy customer, ''If you had another chance would you pump more into a pension, or would you spend it when you were younger''

His reply might sound simplistic but it made sense to me at the time. ''The way I look at it son you Save a little and you Spend a little''

I should of course point out at this stage that you should seek advice from a Qualified Independant Finacial Adviser LOL.

I take the "Thirds" approach, one third of each income goes to pensions, savings plan and living expenses, I dip into the savings plan for holidays and hobbies other than that they all get saved if not spending.

I'm a saver not a spender.

[Wullie10]

The logic I used to talk myself out of taking it early was..... where would I get 5% + RPI a year risk free on the money if I took it early?
In my case for the nra 60 pension, I would have got a yearly pension of £5,500 and a PCLS of £33,000 at age 55.
When I took it at 60 I got a yearly pension of £9,500 and a PCLS of £63,000.
So for me it really has paid off to leave it until I reached the nra60.
But as others have rightly said...... there is no right or wrong answer. It depends on your personal circumstances.

That's a huge difference. £61 a week after tax for the rest of your life ( plus other pensions ) could be the difference between a nicer retirement or sitting in a cold damp house scared to turn the heating on. I never understood the "you could die at 60" argument as you can drop dead at any age.

[milly]

Take it I will at 55 , your could be dead at 65 , ive been investing in gold the last 4 years ,that's the way to go ,forget isa or premium bonds .

Be careful mentioning Gold on here, you may get attacked for being a tinfoil hat wearing conspiracy theorist.
Well done for recognising that our currency is in dire straits and investing accordingly.

[RobertT]

There's absolutely nothing wrong with investing in gold – it's no different to any other investment such as equities, property, bitcoin etc.
If you buy and sell at the right time you can make money. If you don't, you can lose it.

The statistics say that equities have performed better than gold over long periods of time, but gold is better as a shorter term home. So personal choice, circumstances and goals will obviously come into it.

Plus the old adage of past performance is no guarantee of future returns, applies to whatever you're investing in.

In practice nobody knows what's around the next corner, and everyone makes up their own mind about where to put their own money.

The same goes for taking your pension.
Generally speaking it's best to wait until NRA, but taking it early can still be a good move for some people if it fits their circumstances.

Ultimately, who cares what anyone else does with their own money?
Gold, equities, Premium Bonds, ISA's?
Save, spend?
Pension before NRA?
It's personal choice!

If you're in any doubt on anything financial, an IFA will provide better advice than you'll find on an anonymous internet forum.