Direct Benefits
UK
In the UK, the earliest that you can draw on your pension benefits is age 50 (unless you are in a special occupation or are able to claim early retirement through ill health) and this is soon to increase to age 55.
In the UK, the maximum tax-free cash that you can get from a personal pension is 25% of the fund. If you have deferred occupation pension scheme benefits you may obtain more than this. In the UK, once you begin drawing an income you will be taxed on it
In the UK, if you die whilst in receipt of a pension your spouse, if you have one, will be entitled to either; nothing; a reduced pension; a taxable income or the balance of your pension fund less a whopping 35% tax.
OVERSEAS
Overseas, you may access the fund and take 25% of it tax-free at age 50.
Overseas, you may invest the balance of the fund in a wide range of investments. You do not have to purchase an annuity and you are free to arrange any income in the manner that best suits you for tax purposes.
When you die, the entire fund can pass to whomever you want it to (depending upon your circumstances there is the possibility of IHT applying).
