UK Pension at Work
15 UK pension guides — auto-enrolment, workplace pensions, contribution levels, tax relief, employer matching, finding old pensions, transfers, retirement access, 25% tax-free cash, divorce, death benefits, and State Pension. April 2026 statutory rates and proposed 2027 IHT changes covered.
How does UK workplace pension auto-enrolment work in 2026?
UK auto-enrolment requires employers to enrol eligible workers into a workplace pension automatically. From age 22 (set to drop to 18 under proposed changes), i…
How does a UK workplace pension work?
A UK workplace pension is an employer-arranged retirement savings scheme. Two main types: (1) Defined Contribution (DC) — most common; you and employer contribu…
How much should I contribute to my UK pension?
Common rule of thumb: total contribution % of salary should be 'half your age when you start' (e.g., start at 30 → 15% combined; start at 40 → 20% combined). In…
How does UK pension tax relief work in 2026?
UK pension contributions get tax relief at your highest marginal income tax rate — 20% (basic rate), 40% (higher rate), or 45% (additional rate) — making pensio…
How much do UK employers have to contribute to pensions?
UK employers must contribute MINIMUM 3% of qualifying earnings (£6,240-£50,270 band) for auto-enrolled employees — but most contribute more. Common UK employer …
How do I opt out of UK auto-enrolment, and should I?
You CAN opt out of UK auto-enrolment by giving notice to your pension provider (not employer) within 1 month of being enrolled — this gets you a full refund of …
How do I find old UK pensions from previous jobs?
UK estimated lost/forgotten pensions: £27 billion across 3 million pots. Many UK workers have multiple workplace pensions from previous jobs they've lost track …
How do I transfer a UK pension between providers?
UK pension transfers (consolidating multiple workplace/personal pensions into one) are typically straightforward and free — but require careful evaluation first…
How does the UK State Pension work in 2026?
UK State Pension (April 2025-26 rates): full new State Pension £230.25/week (£11,973/year) — paid from State Pension age (currently 66, rising to 67 in 2026-28,…
What is the difference between UK private and workplace pensions?
Workplace pension: arranged by employer; auto-enrolment; employer contributes (3%+); you contribute (5%+); typically lower investment choice but lower fees. Pri…
What happens to my pension when I change UK jobs?
When you change UK jobs: (1) old workplace pension stays with old provider — STAYS as 'preserved' or 'paid-up' pension; (2) new employer auto-enrols you in thei…
How do I access my UK pension at retirement in 2026?
From age 55 (rising to 57 in April 2028), you can access your defined contribution UK pension flexibly. Three main options: (1) take 25% tax-free lump sum (or £…
How does UK 25% tax-free pension cash work?
From age 55+ (rising to 57 in April 2028), you can take 25% of your defined contribution UK pension pot as a tax-free lump sum. From April 2024, the absolute ca…
How is a UK pension divided in divorce?
Pensions are typically the largest financial asset in UK divorces — often more valuable than the family home. Three main pension division methods: (1) Pension S…
What happens to my UK pension when I die?
UK pension death benefits depend on age at death and pension type. Defined Contribution: if you die before 75, beneficiaries can usually inherit pension TAX-FRE…