I'm planning to take early retirement shortly aged 56. I have a £300k DC pension pot with my current employer, but I'd much rather not use it to buy an annuity and would prefer to go the income drawdown route.

As I understand it, I need £20k of other pension income before I can enter a Drawdown scheme. In fact I only have about £17k from previous DB schemes.

Now, is it possible for me to use a bit of my £300k pot in order to buy a very small annuity so I can top-up my 'other' pensions to the £20k threshold, and then put the rest into a drawdown scheme?

If so, would a single scheme provider be able to arrange this for me?

I think you mean a flexible drawdown after you have bought an annuity to make up your guaranteed income to 20k. You can then draw down any amount from your pot in the tax year that you have 20k but will have to watch the rate of tax you will pay.

I am in the process of buying an impaired life annuity to bring my income up to 20k and will then flexibly drawdown the rest over a number of years.

Hope this is helpful

I would take the 25% tax 100 % free group sum and spend money on greater producing stocks - stocks and/or financial commitment trusts and ideally Isa - this year and next could protect it if you have a partner. £45K should offer a tax 100 % free earnings of around £2K+ and keep speed with rising prices.

Annuities are a laugh at the moment so shift the rest into draw down but keep spent in stocks to keep speed with rising prices.

tweed heads aged care homes
Fairways Supported Living
182-184 Hursley Road Toowoomba QLD 4350 Australia
Phone : +61 1300 765 051
http://www.fairwayssupportedliving.com.au/
Providing community aged care supported living housing in Toowoomba, the Glenvale Villas are the perfect option for your loved ones, if they need a little extra help with daily living.