Before accessing your pension pot

Hi there! I’m Sanjay, and I’m here to chat about the different ways you can use your pension pot to give you an income in retirement.

From your 55^th birthday you can access your pension pot. If you need money straight away, you can take up to 25% as a tax-free lump sum. But then you’ll need to decide what to do with the rest.

You might already have some ideas about what your retirement will look like. But it all depends how much money is in your pension pot, and what sort of lifestyle you have in mind. Remember, you need to think about the long-term as your needs could change over time.

Your first step should be to check what benefits your pension provider offers that can’t be matched elsewhere.

Think carefully about the type of retirement you’d like. Do you want the security of a guaranteed income for life, or is flexibility more important to you?

You then need to research the different pension products available, any potential risks, and weigh them up against your ambitions for retirement. Remember, you might have to pay tax on your income, so think carefully about the tax implications of what you’re considering.

You can always ask for guidance from Pension Wise or an independent financial adviser, to help work out what’s best for you.

It’s important to shop around to help you understand all the different options that are available to you. Because while one retirement option might be right for someone like me, your needs may look completely different.

Voice over: If you'd like to find out how Legal and General could help you make the most of your retirement income, get in touch today.