What happens do a pension when die

[Blondeshavemorefun]

Just that really

Does a pension go to the next of kin /spouse /children automatically

Or does it need to be in a will

Have visions of putting lots into a pension and me dying before getting it

So what happens to it?

Does the person who gets it get it in one lump sum Or taxed on it

And if no will then what happens (obv I have a will) just wondered

Same with state pension

Once they die does their state pension go to someone of its money not received any more

Sorry if silly questions

Ffs *to !!!

Wish could edit on the app !!

It depends on the kind of pension. Is your pension defined benefit (only really exists for public sector jobs) or defined contribution?

I have an option on my pensions to nominate a beneficiary when I die
if you can log in to your pension account if take as few mins to do
these are not stage pensions but workplace ones

State pension nprmally dies with you these days. Private pensions you normally name someone, who will get a percentage of the sum

There's quite a good guide on the Marie Curie website:
https://www.mariecurie.org.uk/help/support/benefits-entitlements/bereavement/what-happens-to-your-pension-when-you-die#:~:text=Your%20State%20Pension%20will%20normally,contributions%20you%20both%20made%20and

You'd need to check which bits apply, though.

Once you die, you don't get a state pension any more.

I have a defined benefit pension. If I die before pension age, my family get a lump sum (3 x my annual salary). If I die after pension age, my spouse (if I had one) would get a reduced pension. As I don't have a spouse, the pension ends. So it is possible that I might pay £££ into my pension, take it at 67, and then die at 68 only have had a year's pension. That's just the way it goes.

Private pensions you nominate a beneficiary. You'd be wise to put this in your will too though. Otherwise if you don't nominate it would likely go to your next of kin.

My mum received my dad’s (private) pension in a big lump sum when he died. She can only draw enough from it for household/living expenses without incurring a hefty tax penalty. They’re all set up differently, so you need to check. State pension usually dies with you.

Thank you all

I will check what mine says

Assumed it would go to dh or mini blondes in trust as she's a child

Or can children not get pensions and has to be an adult

It's a private one as I'm self employed

Seems unfair @MissAmbrosia only get a %

Surely should get all of it

Thank you

Will have a read

Wrong. Private pensions pass in full.

If you buy an annuity then some have clauses for spousal or dependents to continue to receive some or all of the income. My DFs had a clause that continued to pay out until he would have been 70.

The state pension died with you.
Re other pensions it depends on the pension.
I had to fill in a nomination form for my pension scheme and my nominee gets half my pension if I die before him and vice versa

My private defined benefits pensions tell me on their statements how much my nominee paid if I die. It's not the full pension amount I get.

Defined benefit pensions are dependent on the scheme rules.

Private personal pensions pass in full

@Blondeshavemorefun never assume a work place or private pension will automatically pass on to a spouse. Fil assumed that and didn’t update the paperwork to reflect their married status. Mil missed out on a substantial railway pension and benefits as a result. Just because a five minute check and the filling in a couple of boxes wasn’t worth doing according to fil - “because they were married and it was automatic”.

it’s always worth checking and double checking anything financial !

What a defined Benifit pension?

All these posh words

Agree @Alphabet1spaghetti2 Never assume

Makes an ass out of u and me 😄

As PP have said, if you have a workplace pension you need to nominate your beneficiaries on a form. Ask them for the form and it will tell you what to do.
If you don’t have a nomination form, you can’t assume the money will go to your husband and child. It’s up to the trustees of the scheme to decide who gets it.

It would have to be very perverse for a spouse and child not to receive it. Some public pensions you had to be married to inherit, but it’s rare.

Define Benefit - final salary, career average, promise of income.

Defined Contribution - Personal pension, saving pension, stakeholder, S32Buyout, GAR, GPP

edit To correct

There's a lot of really confusing information on this thread!

A state pension will die with you.

For private pensions the following will be true:

      A defined contribution pension – a pension that’s based on how much has been paid into it – will normally make the value of your pension pot available to your dependants or other beneficiaries. This could be as a lump sum or a kind of pension, depending on what your pension provides. If you die before age 75, benefits under money purchase schemes can usually be passed on to your beneficiaries free of tax.

	A defined benefit pension – a pension that’s based on your final or average salary and the length of time you work for the employer – will usually pay a pension to your spouse or partner. It may also pay a pension to your children until they leave full time education. The pensions paid to dependants are usually less than the pension you would have received.

If you're already being paid from an annuity
An annuity is a financial product that pays you an income for life, which you buy with money from your pension fund. If you die when you're already being paid from an annuity your Pension Annuity or Enhanced Pension Annuity will end when you die unless you selected a guaranteed period upon outset.

Not if it is a final salary, as there is no ‘pot’ of money. My one, my spouse would get 50% of my monthly pension for the rest of her life if I died after I started taking. After she goes, nothing for anyone. Defined contribution pension, the heirs in the will would get what was left in the pot.

Private and work pensions you usually name a beneficiary. If you don't it will go to your next of kin. Which in your case is your husband.

Do you have a will? Named guardians for your children?

It depends completely on the pension.

For a lot of pensions it used to be quite common for the pension to be guaranteed for five years so if you died before taking your pension or within the first five years the balance of the first five years of payments would be paid to your estate as a lump sum. They would usually provide for widows and dependents as well. The widow's pension was generally half the main beneficiary's pension, and the dependents' pension would be the same for each dependent child up to age 18 or 22 if they remained in full time education.

You have to read the small print.