Under the new pension freedoms, you can mix and match the options below, however not all pension schemes/providers offer every option listed.
~ Delay taking your pension benefits - allowing your fund to grow tax-free ~
~ Use your pension fund to provide a flexible income during your retirement ~
~ Use your pension fund to purchase a guaranteed income for life ~
~ Withdraw small cash amounts from your pension fund ~
~ Withdraw your whole pension fund in one transaction ~
~ Create a variation of the above options to suit your circumstances ~
Carol, 63, is approaching retirement and considering pension drawdown. Carol has a Self Invested Personal Pension worth £500,000 and no other retirement savings. Before she retires she is keen to pay off the final £50,000 of her mortgage.
Weighing Up Your Options | 3 Pension Options In 3 Minutes
It's important to plan ahead for your retirement. Here, we explain why pension planning is so critical, and describe some of the options available to you. This information is intended only as guidance. For advice on your specific circumstances, please get in touch.