show menu

Things to

Before deciding which option or options are right for you, think about...

  • The size of your fund is important.
  • Include pensions savings with other providers.
  • You may have benefits from a final salary scheme which will provide a guaranteed level of income rather than a fund.
  • Any benefits you take early are likely to be worth less.
  • If your savings are very small, taking them as one lump sum may make sense but you may have to pay a higher rate of tax than usual.
  • Will you need a fixed income or will your needs change over time?
  • Will you want a lump sum at retirement? You can usually take 25% of your fund tax free but will have to pay tax on the rest.
  • How much State Pension you will get and from what date.
  • Do you have any final salary scheme benefits which provide a guaranteed income.
  • If it is very important that your income doesn't go down then consider buying a secure income.
  • If you leave your funds invested, there is a chance they might go down in value.
  • If you take your fund as cash or leave it invested in cash (including in your bank account), it is likely to go down in value because of the impact of inflation.
  • Can you can take some risk to improve the overall income?
  • You can take your tax free cash sum in stages without triggering the limit on future contributions.
  • But once you take benefits which are taxable, the tax relief, called the Annual Allowance, on future pension contributions is limited for both you and your employer.
  • If you access your taxable benefits early, this is important as it will restrict your ability to save more later.

The information on this page is provided in good faith but is not legal or financial advice or binding on the Trustee. The trust deed and rules will override in the event of any inconsistency.

Help for Employers

Your time is valuable and we want you to spend it on your business.

Become a Member

Pensions made easy, how to choose the right pension for you today!

Already a Member

Information about your pension for existing members

To give us feedback click here