Pension Drawdown with Moneybox
When the time comes, choose from a range of flexible withdrawal options to access your Moneybox Personal Pension.
What is pension drawdown?
Pension drawdown is a flexible way to take income from your pension pot while keeping the rest invested.
As you approach retirement, understanding your options is vital for long-term financial peace of mind. Drawdown offers the opportunity to begin accessing your savings from age 55 (rising to 57 in 2028), providing a flexible way to fund your lifestyle alongside other income sources like the State Pension.
How does pension drawdown work?
Your pension is made up of 25% tax-free cash and 75% taxable cash. That means if you have a £200,000 pension pot, you won’t pay any tax when you withdraw up to £50,000. But you will pay Income Tax when you withdraw any of the remaining £150,000.
You can withdraw a lump-sum or take out smaller amounts, while keeping the rest invested.
Why drawdown with Moneybox?
Tax efficiency
You only pay Income Tax on the money you withdraw beyond your tax-free allowance.
Control
Withdraw what you need, when you need it. It’s ultimate flexibility.
Legacy planning
If you pass away, any remaining funds in your pension can usually be passed to your beneficiaries.
Growth
Your remaining money stays invested, giving it the chance to continue growing.
Considering withdrawing from your pension?
Bringing your pensions together before retirement can make it easier to understand your options and manage your money when you're ready to access it.
Find and combine old pension pots into one account
Keep track of your retirement savings in one place
Manage withdrawals online when the time comes
Past performance is not a reliable guide to future gains. You may get back less than you invest.
Taking money from your pension is an important financial decision. We strongly recommend using Pension Wise's free and impartial guidance service, or seeking financial advice, before making a choice.
There are different ways to access your pension savings and not all retirement options are available through the Moneybox Pension. Before deciding, it's important to understand the features, charges and risks of each option and consider whether another provider may better meet your needs.
Money left invested in your pension can go up and down in value, which means the amount available to withdraw may be worth more or less than expected. Pension and tax rules apply and depend on your individual circumstances.