The way you take your pension and the type of pension you have affects how it is treated when you die. How old you are when you die will impact on how it's treated too. 

Before retirement

During retirement - annuity

During retirement - income drawdown

Your pension fund can be taken as a tax-free lump sum and/or used to provide a taxable income for dependents.

If you purchased a guaranteed annuity income will continue to be paid until the end of that period.

If you purchased a dependent's pension it will kick in. 

Your pension fund can be taken as a lump sum (less 55% tax) and/or used to provide a taxable income for dependents.

 

Click here to visit the governments Pension Wise website, which offers free and impartial guidance about your defined contribution pension options.

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