Inherited pension

seanhurstseanhurst Member
edited February 1 in Technical stuff

Afternoon all,

I have a client who following the death of his mother has inherited an uncrystalised pension fund, he wants to keep this in his own name in pensions and access tax free (as is allowed). My query is in regards to the reason why, im planning on using a pension switch reason why and amending to reflect how he has come to possess the fund and the tax free benefits associated with all withdrawals, has anyone got any thoughts on this?


  • It's a sound place to start. Cover off risk and investments and tax; why withdrawing and impact on his estate if money taken out of the pension wrapper and not spent.

  • I'm confused. Are you saying you are doing a Suit Report for the pension moving from mother so client?

  • JonaJona Member

    It a fait accompi isnt it - the pension moving from mother to son - you've not given advice on that aspect.

    So is all you really need a withdrawal report (if he intends to take any now) and/or an investment rec?

  • Hi Sean,

    I'm also a bit confused. If he is becoming a new client then I'd treat him as such, and one of his assets is an inherited pension. If he wants money from it now, or the wrapper isn't suitable/portfolio needs changing, or whatever it is you might do that involves a personal recommendation then the suitability report will be for whatever that needs to be.

    But as @jona says, the passing from mother to son isn't a personal recommendation so it doesn't need a suitability report.

    Benjamin Fabi FPFS
    Chartered Financial Planner 
  • Isn't the whole thing tax free?

  • That's what the OP said :smile:

  • oh yeah!

    I somehow read it as as tax-free cash and therefore implying that 25% would be tax-free, which wouldn't have been correct and why I was confused.

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