It’s a type of pension you build up with pension contributions you and/or your employer make.
This includes workplace, personal and stakeholder pension schemes.
You must have reached normal minimum pension age to access your pension pot. This is currently 55 – or earlier if you’re in ill health or have a protected retirement age. This will rise to age 57 from April 2028.
Whether you plan to retire fully, to cut back your hours gradually, or to carry on working for longer, you can now tailor when and how you use your pension. And you can decide when to stop saving into it – to fit with your retirement plans.
There’s a lot to weigh up when working out which option or combination will provide you and any dependants with a reliable and tax-efficient income throughout your retirement.
It’s important to use the free, government-backed Pension Wise service to help you understand your options.