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@ beefbitcoinliberty
2025-05-17 15:43:46
A major mistake people make is leaving the money they pay into a pension to be managed by someone else. For those Bitcoiners in the UK who already have money in a pension the best option is to use it to buy actual Bitcoin (and self-custody it). At least that way your pension is held in the best-performing asset.
At retirement age, whether to drawdown all in a single lump-sum or over time as an income would depend on personal circumstances and preferences. One major advantage of pensions currently is that gains are free from capital gains tax (at least for now, I would not be surprised if the gov changed that). For this reason I imagine drawing down as needed would be the better option rather than taking it all as a lump sum, incurring income tax, then having capital gains due on any Bitcoin you bought with it. Just let the Bitcoin appreciate without capital gains, then take out whatever each year, maximising your annual personal allowance and possibly avoiding higher income tax brackets.
As far as paying more into a pension post-orange-pilling, as you say, stacking self-sovereign sats seems like a better option. However, this is often complicated slightly by the fact you'd typically lose out on the employer contribution if you don't make contributions of your own.