Under new rules, individuals have more flexibility in how they access their pension pot. Options include leaving the pot untouched, using it to purchase a guaranteed income for life via an annuity, taking small cash sums flexibly over time, or taking the entire pot as a lump sum cash payment. Individuals can choose to take different portions of their pension via different options. The best approach depends on factors like one's work status, income needs, age, health, pension pot size, and other finances. Free government services are available to help understand the options, and a financial advisor can recommend suitable products and strategies based on individual tax circumstances.

1. Your Pension Options
Following changes introduced in April 2015 you have
more choice and flexibility than ever before over how
and when you can take money from your pension pot.
Your options at a glance
Under the new flexible rules you can
mix and match any of the options
below, using different parts of one
pension pot or using separate or
combined pots.
• Leave your pension pot untouched
• Use your pot to buy a guaranteed
income for life – an annuity
• Use your pot to provide a flexible
retirement income – flexi-access
drawdown
• Take small cash sums from your pot
• Take your whole pot as cash
Mixing your options
You don’t have to choose one option
when deciding how to access your
pension – you can mix and match as
you like, and take cash and income at
different times to suit your needs.
Which option or combination
is right for you will depend on;
when you stop or reduce your
work, your income objectives
and attitude to risk, your age
and health, the size of your
pension pot and other savings,
any pension or other savings of
your spouse or partner, if relevant,
whether you have financial
dependants, whether your
circumstances are likely to change
in the future.
Get help or advice
If you’re 55 or over and thinking
of taking all or part of your
pension, you can use Pension
Wise, a free government backed
chaseasset
management
independent financial advisers
& wealth managers
service, to help you understand
all of the choices you have. It’s an
impartial service available online,
on the phone, and or face-to-face.
Once you understand your choices,
a financial adviser will be able
to recommend which option (or
combination) is best for you and
help find you the most competitive
products. Consideration should
be made with regards to your
Individual Tax position before using
any of the options above.
Contact Darren for a No cost, No
Obligation, Informal Chat
07972 726 782
0161 441 1200
darren.west@chaseam.co.uk
www.chaseam.co.uk
Darren is an
Independent Financial
Adviser who lives in
Milnthorpe and provides
Financial Advice
to Individuals and
Companies throughout
the Cumbria and North
Lancs area.
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