If you just have one plan, the Open Market Option ensures that your existing pension plan provider will pay your tax-free lump sum direct to you and send the rest of the money to your new annuity provider. This is the quickest way to get your tax-free lump sum. Money held for occupational schemes and Unsecured Pensions (also known as Income Drawdown Plans) must always be sent in this way. We will prepare our report on this basis in the majority of cases. If you have more than one private pension plan it is normally better for you to have your funds amalgamated before receiving them. In this case, your new annuity provider will pay you your tax-free lump sum from your combined funds. If you have more than one private pension plan, we can prepare our report on this basis rather than on the Open Market Option basis.

Close Window