Deferring the State Pension

Chris_Hindle1 · July 2020

Deferring the State Pension.

We have a client who deferred their State Pension in 2009 (still in deferment). They have a letter from DWP showing that they are entitled to a lump sum of c£36k, based on having deferred since 2014.

When I queried this with them (why 2014 and not 2009), they told me that they took a lump sum of c£20k from the deferred State Pension, but kept it in deferment. I’ve searched online to see if this is possible but can’t find anything to support it.

They are absolutely certain that they did this (but can’t find any documentation to evidence it... )

Anyone ever come across this before?

richallum · July 2020

I thought you could only take a one off lump sum if you deferred before 2016 so not sure what's going on there.

AS luck would have it, we're doing a whole Online Assembly on this on 5 August so if you haven't found the answer by then, we'll definitely sort it for you then. Book here.

Chris_Hindle1 · July 2020

Thanks Richard, will make sure to book in. A couple of advisers on Lifetalk have commented that it is possible...

https://www.facebook.com/groups/AdviserLifeTalk/?post_id=10158173960095342&comment_id=10158175390520342&notif_id=1595442200948404&notif_t=group_comment&ref=notif

Northface · July 2020

Standard Life have a good techzone article on this, it is a quirk of pre april 2016 sp deferral.

Deferring the State Pension

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