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Lump sum

Discussion in 'Retirement' started by gliss, Apr 22, 2019.

  1. Gainingcontrol

    Gainingcontrol New commenter

    The ratio of 12:1 for taking tax free cash in place of teacher pension is poor compared to most schemes (my bank pension ratio was 22:1), so unless you want to pay off debt or do something specific the extra index-linked pension is usually the better option.
    eljefeb90 and emerald52 like this.
  2. Startedin82

    Startedin82 Established commenter

    I have applied for my pension this afternoon aged 59 years and 1 month. I've gone for the max pension and standard lump sum. It did take me a while to make up my mind but in the end I just wanted the security of the higher monthly sum and didn't really see the benefit of the extra tax free cash (although it was tempting). My reasoning reflects what other people who did what I have done have written about above.

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