Pension Advice for £100k Pots | Money Saving Advisors
Learn how to get the most from a £100k pension pot. Expert advice on investing or drawing income wisely.
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You've saved well - now make it work harder
A £100,000+ pension pot is a huge achievement. But now's the time to think smart. How you take, invest, and protect that money can shape your whole retirement. With the right advice, you can avoid costly mistakes, maximise income, and even grow your pot further - without unnecessary risk.
Why guidance matters for bigger pensions
Once your pension pot hits six figures, the decisions get bigger too - and the impact of small choices grows.
- Tax traps and smarter withdrawals
Taking money from your pension in the wrong way can push you into a higher tax band, trigger a large tax bill, or reduce future options. A financial advisor can show you how to withdraw tax-efficiently, use your personal allowance wisely, and access your tax-free lump sum. - Your pension plus other income
Tax treatment depends on your other income, property earnings, part-time work, and more. The right advice helps you balance your pension with other sources. That can mean tax relief, more stable pension income, and more money in your pocket overall.
Growing your pension pot in retirement
You don't have to stop growing your pot when you stop working. With the right plan, it can keep working for you well into your retirement years.
- Investing in drawdown with confidence
If you leave your pot invested and take income as needed (known as pension drawdown), you'll need to choose the right mix of investments. Advice can help you balance growth and security, so your money lasts. - Planning for later life and passing it on
Pension advice isn't just about today. It can also help you plan for care costs, unexpected health needs, or leaving money to loved ones. Pensions can be very tax-efficient when passed on - if set up correctly.
Summing up
As a high earner, your pension pot opens up a world of choice - but with that comes complexity. The right advice can be worth its weight in gold - helping you make those decisions, avoid punishing income tax, and shape the retirement savings you've worked so hard for.
Frequently Asked Questions
When should I get pension advice?
It's a smart idea to get advice once your pension pot hits around £100,000. That's when the decisions you make - about when to take money, how to invest, and how to receive tax relief - can have a much bigger impact. Whether you're five years from retirement or already drawing from a pension scheme, you'll want to build a plan that protects your money and supports your lifestyle.
What's the difference between annuity income and drawdown?
Annuity income offers a guaranteed monthly or annual income (or lump sum). The amount you get is based on your pension savings and current annuity rates. Pension drawdown options allow more flexibility by letting you withdraw funds as needed, but there's no guaranteed income because it depends on how well your investments perform.
Can I manage my pension myself?
You can manage your pension yourself, and some people do, especially if they're confident with investments and tax planning. But even experienced DIY investors often miss out on allowances or trigger tax charges. With a £100k+ pot, even a one-time session with an advisor could give you reassurance, flag any gaps, and help you avoid mistakes.
What does pension advice typically cover?
Pension advice is wide-ranging and tailored to your needs. It can cover everything from tax efficiency to making pension contributions within your annual allowance. It can also help you understand the stock market for better investment returns. A good advisor will consider your financial wellbeing, and help to align your retirement income with your personal circumstances and goals.
Is pension advice regulated in the UK?
Yes, all pension advisors must be authorised by the Financial Conduct Authority - you can check their credentials on the FCA register. This means they're properly qualified, work in your best interests, and follow strict rules. It also means you're also protected if something goes wrong and may be able to complain or claim compensation.
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