Would you consider cashing in your pension for a lump sum?
Retired workers could be given the right to sell their pensions under plans floated by the pensions minister.
From April, working people will be able to cash in their pension savings for a lump sum when they retire.
Lib Dem Steve Webb said he wanted to extend this to existing pensioners.
His plan would allow pensioners, if they wanted, to sell the annuities they had been required to buy under the old rules to the highest bidder.
This would allow them a lump sum to spend on what they liked, and could be used alongside other pensions they have accumulated, Mr Webb said.
He told BBC News his proposal would not be implemented by April when the changes affecting working people, announced in Chancellor George Osborne’s 2014 budget, come into force.
Mr Webb has previously said pensioners should be free to spend their pension savings on a Lamborghini if they wish.
Under the changes previously announced, people reaching retirement age will no longer have to buy a guaranteed annual income, in the form of an annuity.
Do you understand what the tax implications would be if you took a lump sum? Are you going to throw your cares to the wind and have some fun and let the future take care of itself? Or do you feel responsible for your own future?
What are your views?
What are your views on this?
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I for one do not.
Although I have drawn down substantial annual amounts I now have more in my account than I started with due to my careful equities trading.
If I had an annuity I would now be in a disasterous situation.
So having my cash now released to me from April 6th, I can now decide how much I need to drawdown without any interference from so called 'investment experts'.
As from April 6th I will only draw down sufficient sums that take me up to the 25% Tax bracket, but over the next five years I will take out all my money and stop the 1.25% annual management fee over the total value of my SIPP that I am currently charged.
The SIPP managers do absolutly nothing accept use my cash to make themseleves large amounts of interest whilst they offer me absolutely zero interest.
These, government approved, modern day Robin Hoods, need to be closed down and fast.
I think we should all live a bit and splash the cash, but keep some back for that rainy day.
One lady had a terminal illness and had just bought an annuity when it was announced, she would rather have left her money to her children and is now wondering what happens to the rest of her money we she goes, is it just lost.
He's also taken his 'draw down' and retrained as an RYA Inland Waterways Instructor. He'll be helping people get their Competent Crew, Helmsman and CEVNI qualifications so they can get the most out of their canal holidays, help protect the environment, get discounts from some hire companies on the network and hire boats on the continent.
The other boat is to be used as a skippered charter hotel boat for celebration cruises. So we'll be creating jobs in the area too.
To pull it all together, we're also in the process of setting up a charity to help young people access the training.
Our hope is to be able to commission a purpose-built wide beam boat that anyone ( mobility impaired; sight impaired etc) can crew and helm - we want people with disabilities to be able to take their family and friends on boating holidays, instead of them being taken by others.
Our other aim is to have the first disabled RYA Inland Waterways Instructor on our team. And a 'home-grown' one to boot.
We're having positive feedback from the RYA, Canal and Rivers Trust and Inland Waterways Association people we have spoken to. Other charities involved with young people and people with disabilities are being very helpful and encouraging. All this is very exciting and more than a little scary, but if can't think of anything I would prefer to do with my pension pot - regardless of the very real financial risks involved. We've sunk everything into the projects.
Now I need some other active, interested and young people-friendly 'mature' people to want to come and work with us - doesn't matter whether they're experienced boaters or not. We will give training as required. We need people with life experience to help train and mentor the youngsters in customer care as well as boating. Hopefully some of the youngsters will also turn out to be entrepreneurs and we hope to be able to get themselves launched in business. There are also waterways jobs in the UK and abroad, which holders of the qualifications can access.
Sorry to go on so long, Baxi, but I am passionate about this. If you would like to know more about the projects - or know someone who might be interested - please drop me a line : [email protected]. We also welcome visitors to Graydees Dream if you're ever in our area.
If you're ever in Lancashire look for us on the Lancaster canal - we're pretty distinctive. See Facebook Graydees Dream. You'd be most welcome to come on board - the kettle is always on !
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Depending on how sensible you are, taking the 100% of the pot up front (not sure about the tax implications) may be a bit risky. Xxx