Tax Free Cash Series Of Withdrawals
What is a series of withdrawals from a Uncrystallised Funds Pension Lump Sum (UFPLS)?
Taking a series of Uncrystallised Funds Pension Lump Sums (UFPLS) is effectively a form of phased retirement (or ‘staggered vesting’) which is a means of taking retirement benefits from an uncrystallised pension plan without first having to move the funds into a drawdown pension plan. The main objective is to provide a greater degree of control and flexibility over your pension fund.
Compared to a conventional annuity, where the basis of income is fixed at outset and is unable to be amended, taking a series of UFPLS payments allows more flexibility with income being varied according to changing needs.
In order to take advantage of UFPLS there are a number of conditions that need to be met:
- You must be aged 55 or over or, if younger, meet ill-health conditions.
- The payment must be payable from your uncrystallised rights held in a money purchase pension.
- If you are aged under 75, you must have more lifetime allowance remaining than the lump sum required.
- If aged over 75, you must have some lifetime allowance remaining.
- If you have primary or enhanced protection with protected tax free cash or a lifetime allowance enhancement factor but the lump sum allowance is less than 25% you can’t take your benefits as a UFPLS.
- Where scheme specific lump sum protection exists, the right to the higher TFC would have to be given up in order to use UFPLS.
Find out more in our UFPLS – Series of Withdrawals Guide
Independent Financial Advice
Speak to a fully qualified and independent
Invest Southwest adviser today.
Call 01823 353970
Why choose Invest Southwest for your UFPLS Withdrawal Advice?
- We have a team of fully qualified and independent financial experts
- We are highly recommended by our clients
- We deal with a wide range of products
- Our initial consultation is FREE
Call 01823 353970 to find out more
"We needed pension advice for multiple policies on what to do with them.. We agreed to move them all under one policy and this has taken place easily with no pain and quickly. I would not hesitate to recommend to anyone that Invest Southwest for financial advice give a fast, polite and personal service."
Latest Pensions Articles
It’s your retirement – don’t do it a disservice
The Institute for Fiscal Studies (IFS) has warned that 90% of ...
How up to date are you with your pension?
Here are a few things to consider. How much ...
HNWIs cutting pension contributions
Research has highlighted that in an effort to alleviate daily ...
The best (retirement) gift for your child?
With the cost of children’s birthday presents and ...
Independent Pensions & Retirement Planning Advice
The Financial Conduct Authority does not regulate tax advice.
The value of investments can fall as well as rise. You may get back less than you invest.