Pension Commencement Lump Sum
Let's make this easier - a Pension Commencement Lump Sum (PCLS) is a complex way of saying "tax free cash".
When you reach your retirement age, currently 55, you can take up to 25% of your pension fund as a lump sum. This is tax free.
What can you use it for?
Spend it, clear the mortgage, save it or invest it. This cash injection can be a great boost to your retirement lifestyle. The only 'off-limits' investment is you cannot put it into another pension plan.
Things to watch for:
Taking a lump sum will significantly reduce the value of your pension fund. Make sure you seek some independent specialist advice to see how this will affect your future income.
Free Consultation
You can have a free initial consultation. There's no fee, no catch and no obligation on your part. We can call you to arrange a time that suits you.