flexible retirement opportunities

Pension Drawdown

Take money from your pension as and when you need it. Income drawdown offers a way to get a pension income whilst allowing your remaining funds to keep on growing.

In the end, it's not the years in your life that count. It's the life in your yearsAbraham Lincoln

What is income drawdown?

An investment product with a flexible option to take up to 25% of your pension pot tax-free as a lump sum, and leave the rest invested for the chance of investment growth. You can then decide if you want a regular income, or take amounts as and when you need to. Income drawdown is suitable if you are happy to leave your pension fund invested in the stock market so it has a reasonable chance to grow. It can also benefit if you do not wish to take all of your pension straight away, for example, if you plan to carry on working.

How does it work?

You will need to set up a drawdown agreement with your pension provider or you may need to move providers if they do not offer the flexibility.

You can usually take up to 25% of your pension fund as a tax-free lump sum.
Any amounts you take out after the 25% tax-free lump sum will be taxable as earnings in the year you take them.
Decide where the other 75% of your fund will remain invested.
Choose funds with a level of risk you are comfortable with and match any planned withdrawals.

Why get pension drawdown financial advice?

Get support selecting the best drawdown option for you, get your questions answered and make an informed choice.

Find a product that suits your needs based on your financial plans
Help with choosing a fund that matches your attitude to risk.
Discuss your planned withdrawals and receive expert advice.
Ensure your decisions are being made in the most tax efficient way.