Defined Benefit Pensions
A final salary pension or defined benefit pension is a valuable source of secure lifetime income in retirement.
It is accepted that in the majority of cases, it will remain in the best interests of the member to retain their DB pension for the secure benefits it will provide them in retirement. However, some individuals can benefit from a transfer out of a DB pension scheme to a personal pension or SIPP if they:
- Don’t need the full defined benefit pension and would prefer to create a tax efficient family asset that can be transferred to the future generations.
- Would like substantially different benefits to the standard scheme benefits in terms of the timing and amounts of tax-free cash and income payments and are prepared to give up the security of defined benefit pension and take some investment risk.
You can view our guides and tutorials for further information about defined benefit pension transfers.
For those who would like to invest with Tideway Wealth, Tideway can ensure that you receive suitable financial advice from an authorised and regulated financial adviser with Tideway helping you through the transfer process.