Thanks everyone for such a positive response to this video! Let me know if there are other pension related topics you’d like to see covered in future content 🙂

I wish this stuff were taught in school. Financial literacy is so important for one's life prospects.

My head is spinning but this is gold. Many thanks.

Absolutely first class. This is the clearest way I've seen it explained.

I am not a professional but reasonabley well informed, and have seen this covered before, but this is the best one I have seen.

A complex issue explained very simply. No flashy graphics just well presented examples that show the principle.

Best explanation of pensions and tax efficiency that I have ever seen on KZfaq, well done and thanks!!

Thank you! I’ve been watching many pension videos, and this has been by far the most useful! Finally some of my questions answered.

I'm only 43 so nowhere near retirement yet although hoping that 55 could be the magic number. I've been researching a lot about my pension recently but didn't know this crucial information about how the 25% draw down works. I'm very grateful to you for providing it and in such a clear to understand manner. Thank you

Hi CHRIS ….. thank you very much for this video which is extremely helpful and very informative !!! In fact I would even go so far to say that this is the clearest best explained video on this subject probably anywhere on the Internet ! I would suggest to most people that they will probably want to watch it several times and it is very easy to get your head round it if one does that .

Stumbled across this video and despite having watched other content, never knew this information. The example at the end is very useful. Thanks Chris.

By far, the best piece of advice about pensions I've ever seen. I'm 61 and will soon need to decide what to do, many thanks 👍

Subscribed at 2:46 because you have already explained a few terms about pensions, of which I knew nothing before.

This is the best video I have seen explaining the tax free methods of a pension draw down. You make some complex and explain it simple. Love it. Thank you.

Chris, the clearest explanation I have seen so far. I turn 55 this year and have been exploring taking a tax-free lump sum from one or more of my plans. Two of my plans are not available any more, Scottish Widows - With Profits Unitised so I have been told they will need to be crystalised and I will have to take the full 25% tax-free from both and not a fixed amount. They'll then be moved to a single drawdown plan. That's to be confirmed when I speak to their pensions expert on the next call.

Thankyou your presentation has been a great help and I can now have an informed conversation with my IFA next week when we plan to go into drawdown.

I have 46 years of LGPS due in a year, so I have subbed and have a lot of learning to do. Cheers Chris

Thanks Chris this video has been very helpful, I'm 58 and thinking about taking my 25% very soon.

I talk to people all day long about their pension withdrawals. I so wish I could explain things like this to them. I think it would step over the implied advice line for me though so we are only allowed to give basic factual information. Superb information though and brilliantly laid out and explained. I wish i had found yours and James Shacks channels sooner. The problem we face - I work for a pension provider - is the amount of people that are terrified of Financial advisers or those that do not have enough wealth for an FA to see them. This sort of information would be invaluable to them but we are not allowed to direct them to it.

Hi Chris, the above video is first I have seen from you, thanks so much for the information. I have subscribed and will reviewing all your information. I have just gone 65, still working and in a money purchase scheme. My state pension age is 66. I'm probably going to continue working to at least 67. I will try to get my head around the subject and you have provided me with a great start. I was not aware of any of the stuff you provided. Thanks again.

Very clearly explained, well done. I remember as a child learning to count with Cuisenaire Rods (and I'm pleased to see that now, 58 years later, they are still produced and used), and I'm still a visual thinker, so the blocks certainly helped!

could I explain this…yes. Could I explain it a simply as you did no chance. Fantastic. I’m subscribed. I make things look so difficult.

I'm cr*p at all this sort of stuff but you've helped me grasp this somewhat . Thanks.

Just found you by accident, very informative, I'm knocking on 55 so will have to decide which way to go with my post office pension.

Hi Chris, I stumbled upon this video via KZfaq recommendations. I have been thinking about this for sometime now,(even though I have 2 decades before I can withdraw my pension). I have never heard anyone explaining this subject as clearly as you did, especially about UK laws. Clearly there is a huge gap when it comes to USA and UK investment/financial content. Keep up the good content and I will be binge watching your other videos. Thanks

Wow this goes to show that we need to carry out a lot of research before going ahead with our pension withdrawals. Thank you very much for the simple illustrations. New Subscriber here. This information is pure gold. Just came across your channel. Making some popcorn for the binge watch this weekend 😀

Thank you for a straight forward explanation of the tax free allowance.

Best explanation I’ve come across…thankyou so much. And that final example you gave, really helped, as it was closest to our situation.

very helpful thank you - I may need to watch tis a few times to get my head around it but - great info clearly delivered!!b

Great video...a confusing topic superbly and simply explained. Thanks!

Absolutely brilliant, The idea for the plastic bricks makes so much sense, its a fantastic visual representation, very professional, and explained carefully. I thought i knew what i could do with my my draw down pension, but this is at a whole other level. !! Well done Thank you, You got another SUB,

Very good stuff Chris, never would have thought of this, big thumbs up 👍👍👍👍👍👍

Watched a tonne of these videos. This is the first 10 out of 10 I've come to.

Excellent information Chris.....straight to the point !!

Very helpful. About to go into drawdown. Will be doing things on a monty basis so pot keeps growing, and using savings to avoid tax burden

Got to buy some building blocks 😉 Excellent demonstration.

This video is an absolute gem ! thanks for sharing

Gosh it’s much more complicated than most of us knew!

Just found this and it’s one of the clearest illustrations of the subject I’ve ever seen. Thanks so much!

You really need your pension for after you have retired so only take extra money out of the pension if you really need to and are willing to have less money to live off later. In the UK the state pension is paid late sixties dependant on your current age. When you get it any tax due actually comes off your main work pension if you have one.

Very informative video. Myself being 6 months away from 55 this has made the whole tax free, draw down, annuity subject that much more understandable and will help me next time I meet with my FA. Food for thought. Thank you Chris.

Well explained Chris with some great examples. Really appreciated as it helps me consider what I need to do.

Blocks example made it so easy to understand.. brilliant

I usually watch finance related videos at 1.25 or 1.5 x speed. This one is so pertinent to the situation I am in right now, that I have watched it about 3 times at 0.75 x speed! I'm a bright enough person but what you've just managed to make sense of here, is something that I have simply not been able to understand properly until now. I am eternally indebted - the video was simply lovely! Thank You.

Thanks, I’ll have to watch again a few times to get it, my kind of graphics :)

Thanks Chris - really helpful explanation. I am pretty pleased by the current flexibility that the pension rules allow and through the use of a mash up of ISAs, Shares, Tax Free Cash can get a decent retirement income with very little tax to be paid. Tanks for the clear steady explanation - I liked the use of counting blocks (despite being an accountant!) visually I find it so much easier to grasp. Keep up the good work.

Wish all financial advisors were able to explain the process as clearly.

As a 53 yr old this year, this was a great video to explain what I need to do when I reach 55. As an ex British steel pension employee, we have a distinct lack of trust around the pension business. 👍👍

Great video on what is a complex matter. FYI, taking income using UFPLS will also trigger the £4,000 money purchase annual allowance, and is mistake lots make. Don't dip unto your pension pot to help with the cost of living crisis until you understand the potential tax issues that are caused by the MPAA. The £4000 limit includes employer pension contributions, not just your own.

This is really good. I have heard about UFPLS but didn’t know you can take more than 25% tax free that way. This would only work if you don’t need an initial tax free lump sum which most people do take

Thanks for cutting through it. I’m a fan

This is by a long way the best UK pension planning video I've seen, cuts right through the complexity. Thanks

Very very helpful. I presume the uncrystalised pension and flexi-access drawdown pots are essentially the same thing in terms of investment and future growth, just separated as one is pre and the other post crystallisation? Both remain invested. Both growing, but you have two investment pots?

Brilliant explanations of stuff I was struggling to get my head round

Awesome video Chris! I google searched this and clicked on many websites but was left bamboozled with their explanations, just couldn't get it. Thank you for explaining this topic so well :-)

Thank s Chris that really helps to explain how that works 👍 Cheers Graham

Another complicated topic no one else is talking about on YT, that Chris covers in easily understandable language (and props haha!). Appreciate it fella.

helpful and sufficiently brief, thank you Chris

Just watched and subbed....thank you for the advice. I hit 55 in 3 years and was thinking of taking 25 percent of my pot to then pay 10 percent overpayments on my mortgage for 5 years. Not sure if it's the right thing to do but it seems right to me!!

Bugger no extra savings with a Forces Pension paying above the 12.5k Threshold. Still a great explanation thanx.

Very clear and concise advice, thank you.

Excellent video. One to keep watching as a reference point.

I'm sure what most people want is for someone to tell them what they personally could or should do with their pension(s) in the simplest terms. If you haven't just got a simple pension pot it makes things very complicated. I've got about 10k from when I contracted out of SERPS, more with a company I worked for 25 years ago, a closed pension pot with my current employer, and a smaller amount in the new pension plan they started! I could take some now but I've no idea what to take.

Reading between the lines, there was no scenario where taking an annuity was better. So if your financial advisor is steering you down the annuity route, it's probably because it's gonna make him/her a decent buck...

This couldn’t have come at a better time for me, my transfer value has just gone through and I need a lump sum of 130k to help towards purchasing a property, (I’m stuck in the rental trap at 55 due to a divorce) Seeing as i need to purchase outright and don’t want mortgage debt at my time of life, I cannot really see the benefits of using your method, nether the less, it was very clear and concise and well put into layman’s terms, very easy to understand and I will use it for future withdrawals, thank you Chris

Thanks Chris, very intuitive video.

Really clear and helpful explanation. Thank you.

nearly a year old this video but very relevant to most. thanks Chris. Not sure how it would work with defined benefit/final salary planning though. will have to check out your other videos to see if this is possible.

Thanks Chris for this fantastic video it's ever so helpful cheers.

The assumptions assume the pot grows. If it falls the amount of the tax free cash will fall with it and so you would end up with less than 25% of the initial notional value. Good video apart from missing that if.

Hi Chris, Can you do a video on CGT and the benefits of using your SIPP, to minimise tax bill.

This is brilliant. Well explained.

Wow, my heads spinning but I'm sure I will understand it after another watch, I thought like most people 25% was the maximum I could take tax free but no one had ever explained the term crystallisation to me before or how it works.

Excellent video learnt some really useful stuff. Thank you

Cheers Chris . That was very helpful.

What a great video. Clear, concise and very informative. Do you have a website for 121 financial advice?

Thank you very much for this excellent video. Pensions are incredibly complicated and speaking as a 67 year old that has yet to crystallise his pension - this helps to shine the light on how to best cope when the time comes for me to draw down on it. Peter.

fab Chris, thanks for making this content

I'm 60, and need to know where I can get some decent advice for my private pension planning

One of the best personal finance videos I've ever seen.

I have two questions: If I retire early and decide to take 12,570 annually out my personal pension pot, will I avoid tax even after the first 25% of pot is gone? 2. Are you better to use up your personal pot before your state pension begins so your income is lower? Therefore less tax?

That was really good, thank you!

Was wondering where the 25% ends - if I took half the tax free lump sum as it stands, would the remainder create more tax free lump sum? And here you are - explaining very well the answer I needed! Thank you ever so much for taking time to do this for us. Very best of luck to you!

Excellent Vlog Chris 👌

Thank you very well explained. The examples used all assume growth in funds retained in pension. In a zero growth scenario all options would be identical from a tax perspective. In a loss scenario the tax free cash would be less. Have I understood this correctly, Thank you.

Fantastically explained Chris!

Chris. Great video. Think you should have pointed out what happens to your pension fund when you die. Eg if you take the annuity option you lose all the money when you die, nothing for your heirs. Quite critical I suggest when making your initial choice.

Really helpful and very well explained. Subscribed!

Amazingly well explained thank you so much

Hi Chris.... Finally, somebody who knows what they are talking about. A true Fiduciary and very knowledgeable individual. So, here is my situation. 64 old male still working. My Pension Pot is between 250,000 and 350,000. This is split in to two parts, part 1, my Pension Pot. (100,000 of which 84,000 is Crystallised allowing me 12 drawdowns of 1,750.00 per month over 12 months. The second part I have is around 200,000 which I have invested in stocks and shares. Would you be kind enough as to advise me the best way forward so as to make the best use of tax free cash etc please?

Wow. Brilliant, I don't totally get it but can understand the options potential. I probably need to watch it a few times. Never knew this was possible. We are hoping to retire in 5 years and need to drawn income from various sources, including pensions for the period until our state pensions kick in. So this was very helpful.

One of the best!

Chris is an absolute wizard! First class advice as always.

Excellent video bud, this sort of of info is very useful for me right now...maybe we can talk sometime.

Brilliant ..Thanks .

Great vid explaining this. I was just in the process of looking to take my 25% tax free lump sum when I found this vid. My pension adviser hadnt mentioned this way of doing it. Thanks for enlightening me and giving me another option

I've been playing with this idea in my head for a while (even though I'm not accessing my pension for 20 years!). Thank you for explaining so well 💜

Thanks Chris, excellent explanation, I triggered MPAA in 2015 by taking 25% that was taxed, I actually wanted it all as the tax free option but I didn't appreciate the MPAA aspect and let it go Too late now of course. Expensive mistake !! I've been told by Pension Wise I can still have 25% tax free lump sum anytime I like, so that's something at least

Excellent explanation

Super stuff thanks