I am not sure how many of you out there with terminal cancer are aware that you may be able to cash in your pension early? It believe it is referred to as an ill health lump sum.
A friend of mine who has terminal brain cancer found he was able to do this due to the fact he has a stage IV cancer like myself, mine being breast cancer. I have to admit it was a shock to the system to find this may be possible.
A lot depends on what your firms scheme's definition of what ill-health (sickness) means, but usually you will be considered for an ill-health pension if you're unable to carry out your normal job because you're physically or mentally ill and have a life expectancy of less than a year.
I am in the process of seeing whether I can do this myself in light of my condition. I am terminally ill with a Stage IV breast tumour and metastases with secondary cancers of the spine and liver. I have to discuss with my Oncologist to discover what my possible prognosis is in light of the terms of my insurance people.
Every year thousands of people in the UK are diagnosed with conditions that prevent them from continuing to work. Many of them it seems take the option of early retirement due to ill health. One consolation is that many are able to take their pension benefits early too, to help them support themselves financially.
Provided you meet the criteria of your scheme, you may be able to take your benefits early – and your scheme may even pay you an ill health lump sum due to your condition. But this depends on the scheme you are a member of.
Since we have been looking into this, my husband and I wondered how many people out there in a similar situation, knew this sum was possibly available to them. It may not be straight forward as you might think, but it may help with financial matters going forward and how able you are to enjoy the life you have whilst you still have it.
Please if you are in a similar position, then please take a look and see what your company can do for you.
