Financial advice UK and Ireland please?

Fittle

Hi all,

I am Irish and moved to the UK a few years ago. Following a recent bereavement, I have received an Irish private pension that I would like to cash-in. However, my current circumstances in the Uk mean it's not a simple process. It's not a huge amount of money, but I was hoping to get in touch with an FA who would know the legalities in both countries? Any help much appreciated, thanks

coylemj

For most pensions, taking the annuity means that you are past the time where you can 'cash in' and a lot of occupational schemes do not have any option to convert the entire pension to a capital sum, usually because it is very tax-inefficient.

You mention that you received this pension as a result of a 'bereavement', does that mean that you have started to receive a widow's pension from your late spouse's pension scheme? It's highly unlikely in that case that there is an option to 'cash in'. Because most pension trustees take the view that handing over a lump sum in lieu of a lifetime pension is not a good idea, a lot of people need protection from themselves.

More details needed, your query is very vague.

Fittle

Thanks for the reply.
Yes, my husband passed away recently and had a private pension in Ireland. I have been in touch with them and have been given a few options 1. To cash in, and pay 40% tax 2. To invest in my children's names (u18) and pay no tax or 3. Keep it as a pension for myself.

Sadly, my husband had no life insurance and I have been left with alot of debt - I'm just trying to figure out the best solution. As I said, it's an Irish pension, and I am currently on benefits in the UK as I had to give up work and care for my husband. Any money I receive would have to be declared and everything would be stopped. Our youngest child has a disability and I have a few costs coming up associated with him.
I don't have an Irish bank account either.

Losty Dublin

Fittle wrote: »

Thanks for the reply.
Yes, my husband passed away recently and had a private pension in Ireland. I have been in touch with them and have been given a few options 1. To cash in, and pay 40% tax 2. To invest in my children's names (u18) and pay no tax or 3. Keep it as a pension for myself.

Sadly, my husband had no life insurance and I have been left with alot of debt - I'm just trying to figure out the best solution. As I said, it's an Irish pension, and I am currently on benefits in the UK as I had to give up work and care for my husband. Any money I receive would have to be declared and everything would be stopped. Our youngest child has a disability and I have a few costs coming up associated with him.
I don't have an Irish bank account either.

If your husband worked in Ireland then you may be entitled to a State Widow's Pension. This would be separate to and independent of the private pension you asked about initially, but it may work out that you have enough coming in from both to make up for the shortfall in the DHS benefits. Have a look at www.welfare.ie for more information.

Fittle

He worked in Ireland for I've 20 years, so I'll check that out thank you

coylemj

Fittle wrote: »

He worked in Ireland for I've 20 years, so I'll check that out thank you

You may be able to aggregate his Irish social contributions to the ones he made in the UK to boost your UK widow's pension. That would be the best option to pursue first, before trying to claim separate pensions from both countries.