Urbandreamer wrote:Why on earth do I pay into a SIPP, given that it actually costs me money before the provider charges me a penny?
Well....
Until recently I use to pay that money into my ISA. Both allow me to indulge my hobby of stock picking and company research. Had I retired at 50 (as I originally wanted to) I could not have touched a pension, but could have used my ISA to live upon. Now over 55, I can take money out of my pension when ever I want to. Sure there are serious downsides to doing so, but it's not prohibited. Since that is the case why should I not divert funds into a wraper free from IHT (SIPP) from one subject to IHT (ISA)?
For me the choice is not SIPP or company pension but SIPP or ISA. But I pay for that choice and it wouldn't be the "best" choice for everyone.
Thank you. This is the kind of thing, I'd been rooting for.
Yes, I can imagine it makes sense for you UD. Alas, being a newbie, I had lookup IHT. So when you are talking about inheritance tax, is that basically so that in the event of your death, your dependents/family etc. don't have to pay inheritance tax on it?
Sorry to be slow, I had initially only posted this thread, to ask what I thought would be a couple of simple provider switching questions!
But, no bother, this is all interesting stuff to us. And it has rapidly accelerated making some necessary decisions which needed to be made.
M&M