magazine archive
magazine archive
Ask Tom
Help! I have three big questions about the lifetime allowance
Thursday 08 Dec 2022I have three questions in relation to the lifetime allowance. What happens if you have an excess at age 75, but essentially do nothing: neither take income or a lump sum? I guess you are sent a tax bill by HMRC on the excess at 55%. Is that correct? Can you pay this out of funds external to the...
Money is tight so should I stop paying into my workplace pension?
Thursday 01 Dec 2022I’m struggling to pay my bills and considering opting out of my workplace pension scheme. What impact might this have on my retirement? I’m 25, earn £30,000 and currently pay 8% of my total salary into my pension (4% from me, 3% from my employer and 1% from tax relief). Ben Tom Selby, AJ Bell Head...
I want to retire abroad but what will it mean for my pension?
Thursday 24 Nov 2022I am thinking about retiring abroad in the next few years and want to better understand how it will affect both my private pension and my state pension entitlement. What impacts are there of moving abroad, if any? And should I consider a QROPS? Jeff Tom Selby, AJ Bell Head of Retirement Policy,...
Can I get pension contributions paid into a SIPP rather than a workplace scheme?
Thursday 17 Nov 2022I’m being automatically enrolled into a workplace pension but I’m not particularly happy with the scheme. It charges 0.75% and the performance has been consistently poor. Can I have my contributions directed to my SIPP instead? Simon Tom Selby, AJ Bell Head of Retirement Policy, says: If you are...
I've paid too much tax on my pension withdrawals. How do I get it back?
Thursday 10 Nov 2022I’ve taken a £50,000 ad-hoc lump sum out of my pension and by my calculations HMRC has overtaxed me by several thousand pounds. What’s the quickest way to get my money back? Sandeep Tom Selby, AJ Bell Head of Retirement Policy, says: You might think that when you access your pension pot in line...
How do I find my old pensions and should I combine them?
Thursday 03 Nov 2022Is it worth combining my old pensions with my new provider? I think have two pots from previous jobs, although I’m not entirely sure how to find them. Any help you can provide on either of these points would be gratefully appreciated! Anonymous Tom Selby, AJ Bell Head of Retirement Policy, says:...
What exactly is going to happen to the state pension?
Thursday 27 Oct 2022Can you tell me what the state pension will be worth next year? I’m trying to plan my spending for next year but there seems to be conflicting information about whether or not the triple-lock will be in place. Stephanie Tom Selby, AJ Bell Head of Retirement Policy, says: Unfortunately, I can’t tell...
Help! I’m due to buy an annuity but my fund's value has fallen 35%
Thursday 20 Oct 2022I’m planning to buy an annuity next year and have just found out my fund has fallen in value by 35%. I can’t believe it. How can this be possible? Graham Tom Selby, AJ Bell Head of Retirement Policy, says: The ructions in bond markets in recent weeks have generated some pretty scary headlines along...
Should I go for an annuity now rates are much better?
Thursday 13 Oct 2022With annuity rates going up, are these now a better option versus staying invested through drawdown? Especially given the level of volatility we’ve been seeing recently in the UK? Emily Tom Selby, AJ Bell Head of Retirement Policy, says: If you are a defined contribution (DC) saver building up your...
I heard some pension funds were close to insolvency. Is mine safe?
Thursday 06 Oct 2022Is my pension at risk? I’m a member of my company’s defined benefit scheme and have been reading stories suggesting they might be at risk of insolvency. Is there anything I could/should do? Nathan Tom Selby, AJ Bell Head of Retirement Policy, says: Firstly, and most importantly, there is no need to...