Retirement Income & Annuities
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Saving for a pension takes a very long time and is vitally important for our old age. By the time most people retire in late middle age, it is highly likely that they will have had many different jobs. When someone leaves a job to go elsewhere, they will typically stop paying into their company’s pension scheme and start paying into one with their new employer.
The pension scheme left behind is then “frozen” as you are unable to contribute any further funds to it. Also known as occupational frozen pensions and preserved pensions, frozen pensions are “frozen” until the person reaches retirement age which in the United Kingdom currently stands at 60 for women and 65 for men.
If you require assistance regarding a frozen pension, The frozen-pension.co.uk can help.
What can I do if I have a frozen pension?
If you have a frozen pension, you have various different options available to you.
Perhaps the most popular of these is releasing the capital in the pension fund so that it can be used before you retire in whatever way you wish. One way of releasing up to half the value of the frozen pension from a previous employer is by taking out a pension backed loan. Doing this would then give you a quick solution to any urgent financial needs you may have.
It is important to highlight the fact that this option is not available for frozen state pensions as they don’t currently qualify. Frozen state pensions differ from frozen occupational pensions in that they are the “freezing” of state pensions by the British government of pensioners living in certain foreign countries. They are often confused as they both tend to be referred to simply as frozen pensions.
This is by no means the only option available to you and The frozen-pension.co.uk can provide you with other options regarding your frozen pension should you wish.