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Deferring a State Pension

(29 Posts)
mischief Thu 19-Jul-12 18:11:23

Hello all

I am 63. I could have retired at 60 but decided to defer my pension for 5 years while working full time. My state pension is all I will have when I retire and I have no savings. On the government website it says my lump sum 'may' be liable for tax at the amount ruling at the time I retire.

My question is: If I retire and take my weekly pension but put off taking my lump sum, (which I understand I can do for up to a year) will I be taxed when I finally do take the lump sum, as I won't be working? Does anyone know.

babsp Tue 23-Oct-12 15:08:49

My yearly income including my state pension would be about £15500 ish before tax - if i claimed my deferred lump sum now would i pay a higher tax rate on it or would it be the same rate as i pay normally? i'm just scared of claiming at the wrong time sad

trisha60 Mon 08-Apr-13 14:11:21

I am 60, I am on job seekers allowance , if I start taking my Private pension will it effect my JSA. This whole issue is confusing me I have tried calling all sorts of goverment offices no one will give a straight answer. I can not retire untill 2016 thanks

tanith Mon 08-Apr-13 14:31:22

I think your JSA can be affected by savings, pensions and earnings.. it depends if its Income based or contribution based from what I can understand.

Try looking here...https://www.gov.uk/jobseekers-allowance/eligibility