You can currently access your pension savings at any time once you turn 55 (rising to 57 from 6 April 2028).
There are different ways to do this, and the ‘right choice’ depends on your personal circumstances. Taking some time to understand your options can help you make the most of your savings and feel confident about the future.
But first, simplify your retirement journey
Whether you’re ready to make a retirement decision or are considering what your retirement could look like, one of the easiest ways to prepare for the future is by having everything in one place. Our simple online tool helps you find and combine your old pensions into one - making things easier for yourself when you decide how to manage your income in retirement.
Three reasons to combine your pension savings
One pension = one view. When your pension savings are in one place, it’s easier to see what you have saved.
One pension = one charge. You’ll only pay one set of pension charges, which could mean more money for your retirement.
One pension = one set of paperwork. You’ll spend less time on pension admin and more time enjoying life.
You can find out more about transferring your pensions in our help article.
Please note that not all pension providers offer the same retirement options, benefits and support. Before making any decision, you should compare the charges and different options before deciding whether to switch pension providers.
Your retirement, your way
We offer a comprehensive range of options, so you can enjoy retirement in a way that suits you.
Keep your pension savings invested – this gives your money a chance to grow, but you should be aware that the value of your pension could go down as well as up. If you choose this option and you are invested in our default fund, it's a good idea to make sure you keep your expected retirement age updated, so this can be reflected in your investment strategy. You can change your retirement age through your Smart Pension account.
Use Smart Retire - to take all or some of your tax-free cash and a flexible income when you wish. Smart Retire is a flexi-access drawdown that helps you manage your money in retirement. You can take up to 25% of your savings tax-free as a pension commencement lump sum (PCLS), then choose how to invest the remainder across four different pots, each designed to meet a different retirement need.
Purchase an annuity using Pension Potential - an annuity gives you a guaranteed income for life. Different types are available, including enhanced annuities that may pay more if you have certain health or lifestyle factors.
Take your pension savings all in one go or as a series of lump sums – you can usually take a quarter of your savings tax-free and the rest will be taxed.
Mix your options – you could also choose to take your pension savings using a combination or all of the options. If you have more than one pension, you can use the different options for each pot.
Compare your retirement options
There are differences between the retirement options available. For a more detailed overview of your options at retirement, read our retirement options guide.
Need help?
For more information about the support available on your retirement journey, read our help article.
Our UK Retirement Support Team is here to make retirement planning easier. If you have a retirement question, just give one of our specialists a call on 0330 174 0643.
We’re happy to support you by answering any questions you may have about your retirement options or transferring to Smart Pension. However, Smart Pension can only provide guidance and is not regulated to give financial advice. You can find support on the MoneyHelper website if you require professional advice.