(Sipp) Self invested personal pension

From the spiel at the sign on process:

  • This pension is designed for individuals who are in the accumulation phase of building their retirement fund. If you’re seeking to access or draw income from your pension while it’s held at InvestEngine, please note that our app and interfaces may not be the most suitable for your needs.

I’m not looking to draw my funds immediately but I am 56 so will be looking to within 7-10 years. Will I be able to withdraw my funds within this timeframe?

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Hi @dc007

Let me provide you with some additional details on this and explain why we’re currently promoting it as an accumulation SIPP.

This is IE’s first pension product, and we think its important we adopt a phased approach to developing the product to ensure we got things write and couple response to feedback. Our plan is to continue enhancing this product over the next approximately two years. The next step will involve supporting Pension Transfers, followed by working on employer contributions later this year. It will likely be next year before we start exploring how we can support drawdown.

Drawdown and the associated process can also be lot more complicated. Our aim here is to ensure the product remains clear and simple to use and we also need to ensure our operational processes are developed at the same time to we can keep costs low.

You’ll obviously apricate there are lots of variable with this and the potential for pension rules changes etc. so we can’t guarantee to any of the timing above. At the moment, if you were to initiate a drawdown, we would rely on our supporting partner, Quai Financial to facilitate this. We would not yet have the user interfaces to display the details of the drawdown and it would be a very cumbersome process.

Hopefully this helps explain some of the spiel in the signup process and why we’ve stated its designed for accumulating SIPP investors. We’ll try to continue to share detail on our development plans as we can going forward.

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Thanks for the explanation. I have now opened a SIPP. I guess if you haven’t developed a way to withdraw it when I retire then I’ll transfer it somewhere where I can, but, hopefully you will have this in place when the time comes.

So… I have sold my GIA and was hoping to transfer the resulting cash to my SIPP but that doesn’t appear to be an option. I can transfer it to my ISA cash but not the SIPP cash. I can withdraw it to my bank account and then transfer it back again but that seems to be a bit of a waste of time. Is this a bug?

Hi, transfers from GIA to SIPP accounts is something we are currently working on, the feature is expected to be ready in the coming months. We’ll post updates here and on our socials once it is introduced.

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I opened one to transfer an old work one.

It says “To transfer a Personal Pension please contact our support”

Then you contact support and they say its not possible and it’ll turn up at some point in the future.

Firstly is that right? - is there no other way to transfer it
Secondly - This frustrates me a little - don’t tell me to contact you if you can’t do it anyway - literally write ‘we cant do it yet’ and dont waste everyones time?

I’m now confused if its possible and i’ve just spoken someone that wasn’t sure, OR they’ve told me correctly and the site is just misleading.

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After catching up on all the discussions so far regarding the SIPP fees, we really need confirmation on where the costs are going to be taken from. I’ve already deposited a large sum this month (maxing out based on my gross earning YTD), but i like to keep a tight ship on my linked current account. Sometimes there is nothing in there until pay day!!

If the SIPP fees are going to be taken from that account every month, we really need to know so that we can ensure enough money is in there.

Just my 2p worth regarding Employer Contributions.
Having tried using Vanguard and Nutmeg, I’ve found they both have issues.

Nutmeg’s offering is a 10-to-15-day process to set up a Direct Debit and take the 1st payment, with a 5-day wait for subsequent payments. That’s OK but it all seems a bit slow and 20th Century to me…

Vanguard is better, but I’ve had issues. They only accept Debit cards. That’s instant and much easier in some ways, however one of my companies’ Debit cards just doesn’t work for some reason. They take forever to respond, so I’m limbo and unable to make the payment.

One other thing is that neither of them offer multiple employers - I’m the director of 2 SMEs and it’s a pain to have to keep registering one company with them, wait for it to be confirmed, make a payment, remove that one and register the other company with them, wait for it to be confirmed, make a payment, over and over. Especially if I have to re-do the same DD mandate…

So I guess my main points for flexible Employer Contributions would be:

  1. Allow multiple employers
  2. If at all possible, offer multiple ways to pay - a bank transfer option would be brilliant
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Hi,
In my original post I said that there were replies to 2 questions still outstanding - I have received a reply regarding where fees are being taken from.

image

This reply came around 10 days ago.

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Ah thankyou @Pinch

I will leave my SIPP autoinvest switched on then and keep a check that a few quid in cash is left to cover the fees.

@DeeFunds let’s use the word deposits rather than transfers.
Have then defined differently.
Transfers when it comes to Pensions are usually terms as transferring a pension from one provider to another.
While making a deposit is direct from the individual depositing cash into their pension.
They are not transferring a pension in this scenario.

@lee - same query - about transfer / deposit
The wording is confusing - Invest Engine meant to say Deposits, not Transfers.

If anyone can help, I have an old ex employer pension with L&G…it’s not much, about £24k…
Would I be able to move this too a SIPP?
Many thanks

Hi @Gandalf
I transferred a dormant L&G employer pension into a Fidelity SIPP.
It was about £15k.

The only issue is if there are any ‘benefits attached’ (such as life insurance is added for free, or if there are any guarantees about the amount of income, or annual increases in payments).
If it is a ‘defined contribution’ pension, generally there aren’t after you have left the employment though, it is just a pot of money. You will need to confirm there aren’t any when you request the transfer.

If unsure, you could ask L&G whether it is a straightforward DC pension or whether it has any benefits attached. They were helpful when I did it my transfer.

Very helpful, no it’s just a plain old DC with nothing attached. I will wait until IE have set up their transfers-in then move it. Thank you :+1:

Hi, just to clarify, do IE accept pension transfers? Thanks

Hi!
Unfortunately, we currently don’t support SIPP transfers into InvestEngine. But don’t worry, we’re working on finalizing the transfer process and it will be available in the near future. We’ll make sure to keep you updated on our progress here on the Community Forum.

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Ok thanks for the reply

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I really dont get why this was launched without transfers. I waited until October which was late and then longer, and then contacted customer service and its still not possible.

I’m doing the transfer elsewhere now.

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I agree, it’s a bit weird

Also waiting for a transfer. I assumed it would be available from the off… massive market one would presume.

Did anyone get an answer on when in the month IE requests the Tax Relief from HMRC?
i.e. Is there a cut off date in the month to make it quicker?