Pension Transfer

A question about : Pension Transfer

I would welcome your input. I have an occupational pension and also a small pot of maybe Ј9-10,000 held in a Friends provident account which I have never contributed too but which started many years ago. Should I start adding to this small pot? Should I tranfer it to somewhere like HL or Nutmeg? Or should I tranfers it starting a SIPP with HL Nutmeg or similar ? The reason for my last is that I am a higher rate tax payer and having looked at SIPP's I can see the tax advantages. I also have an amount of cash I could put into whatever scheme. Many thanks

Best answers:

• Duston that was a quick reply! My circumstances are I have Police pension which will start when I retire in 4 years or less? I have a couple of BTL properties which are mortgaged and some other investments with HL. My OH has no pension at all (old age when it kicks in) so I guess I am looking to maximise my tax relief by paying an AVC type pension contribution getting the best return (I know we all want that) which will benefit us both. Does that help?
• Irrespective of the investment aims and performance, different platforms' scheme charges may point towards keeping schemes separate or merging them.
  Charges are either flat rate for admin, or a percentage on the total holding, or both, and dealing charges (on shares, including investment trusts) can vary quite a bit, so holdings of certain sizes may be inefficient with certain providers.
• Kidmugsy we are both 53.
• Remember that as a higher rate tax payer paying into a "Relief at Source" product, you will need to reclaim the additional tax relief either through your tax return or by contacting HMRC.
  Don't forget that you are limited as to the amount that can be contributed to your pension each year that is eligible for tax relief.
  See
  https://www.gov.uk/tax-on-your-priva...ion-tax-relief
  Does your wife have any earned income? If so, does her employer offer a pension scheme?
  If she is self employed, has she thought of contributing to a pension?
  Otherwise, you can contribute up to Ј2880 to a pension scheme for her and the provider will claim Ј720 tax relief.
  Have you both seen https://www.gov.uk/new-state-pension/overview as you will draw SP under the new arrangement.
• Thanks xylophone and all others. I have to do a tax return for my BTL property so thats not a problem. My OH does work she has just started at a new firm will have to get her to ask about their contributions to her pension
• Re your wife - see https://www.gov.uk/workplacepensions
• Thank you Kidmugsy definatly food for thought.