- This investor wants to access his Sipp at age 55 to help pay down mortgages and draw an income from it from age 61
- As the Sipp's value is over the pensions lifetime allowance he should get advice on how to manage this
- He should ensure that he has enough cash savings
Sipps and Isas invested in funds and shares, workplace pension, cash, residential property.
Take the maximum possible PCLS at age 55 to help pay off mortgages and build up cash savings, grow Sipp enough to compensate for PCLS withdrawal and last until 90s, income of £55,000 a year from Sipp from age 61, mitigate pensions lifetime allowance charge, cover annual allowance charges, fund home improvements, save into pensions for children, help children with university costs and home purchases, leave inheritance to children.
Alex is 51 and earns £150,000 a year. His wife earns £7,000 a year. Their children are ages eight and six. Their home is worth about £750,000 and has a mortgage of £400,000. Alex also has a buy-to-let property in eastern Europe worth about €50,000 (£42,601) with a mortgage of €40,000. The rental income covers about two-thirds of the annual mortgage repayments.