Are you aged between 50 and 54, with a pension?

By Simon Yates, CFP DipPFS CertsCII(MP&ER)

Many people do not realise that on 6^th April 2010 the minimum age at which you can draw money out of a pension increases from 50 to 55.  So, what does this mean?

This change could have consequences if you are aged 50 or so and thinking of taking money out of your pensions in the next three or four years.  For example, let's look at somebody born on 12^th November 1959.  Happy 50^th birthday if this is you!  If you are intending to take your pension benefits next year, you will be able to do so if you do it before 6^th April.  If you don't do it before then you will have to wait until your 55^th birthday, on 12^th November 2014.  And you'll have to buy another 5 candles for the cake too!

This may even affect people who have already started drawing on their pension if they are using a phased pension facility (call us and we'll tell you if you are doing this!)

If you know of anybody in this situation then we will be delighted to help.  Just give us a call.