Bereavement claims | Help and support

What are the changes to pensions and inheritance tax from 6 April 2027?

David Browne — Fri, 29 Nov 2024 10:38:51 +0000

You can find out more here.

What happens to the money in my flexi-access drawdown account if I die?

Niki Smith — Mon, 17 Jul 2017 11:00:47 +0000

You can nominate someone to be considered to receive your pension savings if you die – called your ‘beneficiary’.

If you’ve already nominated a beneficiary for your pension pot with The People’s Pension, the same beneficiary will be registered for your flexi-access drawdown account with us. If not, you can nominate a person through your account online.

If you die before you’re 75, your beneficiaries can normally receive your remaining pension pot as tax-free lump sums. If you die after you’re 75, your beneficiaries will have to pay tax on any lump sums paid.

My partner has died, when will I receive his/her death benefits?

Niki Smith — Tue, 07 Feb 2017 09:03:34 +0000

We can’t put a timescale on processing death claims as each claim is viewed on an individual basis. This depends on whether there are other beneficiaries claiming, and the length of time the beneficiaries take to provide us with all the information we need to process the claim. You can contact us to find out how the claim is progressing.

Where can I find a beneficiary form?

Niki Smith — Fri, 03 Feb 2017 13:58:01 +0000

Simply log in to your account online and from your ‘Homepage’ select the blue tab ‘Manage your pension’. Then at the top of the screen, click on the grey tab ‘Beneficiaries’ – here you’ll be able to add or change your beneficiary in the details. We’ll send you an email confirming that you’ve changed your beneficiary.

Or you can download a beneficiary form. You’ll need to fill it in and send to:

Freepost THE PEOPLES PENSION
Manor Royal
Crawley
West Sussex
RH10 9QP

Where does my pension go if I die before I retire?

Niki Smith — Thu, 05 Jan 2017 11:22:55 +0000

You can make sure your loved ones and/or a favourite charity receives your retirement savings if you die before you take them. To do this you need to nominate your beneficiaries.

The lump sum is paid at the discretion of the Trustee, and therefore falls outside your estate and is generally free from inheritance tax.

Find out about the government’s proposed pensions and inheritance tax changes that will take effect from 6 April 2027.

An exercise to gather information about potential beneficiaries will take place, but the Trustee will normally be guided by any expression of wish held on record. It’s important that you keep your expression of wish details up to date to help the Trustee (this is done by completing a nomination form).

Is tax payable on a death claim?

archie.homer — Fri, 02 Dec 2016 15:01:03 +0000

If you die before you’re 75, your beneficiaries can normally receive your pension savings as a tax-free lump sum, as long as your total pension savings are less than the lump sum and death benefit allowance (currently £1,073,100). If you die after you’re 75, or if the payment is more than 2 years after the date of death, your beneficiaries will pay tax at their marginal rate on the amount paid.

Are there any time limits that death lump sum benefits need to be distributed by?

archie.homer — Fri, 02 Dec 2016 15:01:03 +0000

There are no time limits as such. However, if you die before age 75, HM Revenue & Customs state that failure to return all information or documentation, to enable us to pay out your total benefits within 2 years of being notified of your death, could result in tax being applied.

How do I nominate a beneficiary?

archie.homer — Fri, 02 Dec 2016 15:01:03 +0000

It’s simple to do. Just log in to your online account and fill in the details. And if your circumstances change, you can change your beneficiaries. You can nominate anybody including family, friends or a charity or other organisation. There’s no limit to the number of people or organisations you can nominate; you just need to make sure your nominations add up to 100%. Please note that only the first 3 beneficiaries will show up on your annual statement.

We’ll send you an email confirming that you’ve changed your beneficiary.
If you’re unable to access the internet, you can download a form. You’ll need to fill it in and send to:

Freepost: THE PEOPLES PENSION
Manor Royal
Crawley
West Sussex
RH10 9QP

If I die and haven’t completed a beneficiary form, what would happen to my pot?

archie.homer — Fri, 02 Dec 2016 15:01:03 +0000

It helps the Trustee if you nominate a beneficiary as they’ll know who you’d like to be considered for payment in the event of your death. To nominate a beneficiary, just log into your account online and fill in the details.

In the absence of a nominated beneficiary, the Trustee would make enquiries to identify your potential beneficiaries and use their discretion to decide who should receive payment.

What happens to my pension pot if I die?

archie.homer — Fri, 02 Dec 2016 15:01:02 +0000

You can make sure your loved ones and/or a favourite charity receives your retirement savings if you die before you take them. To do this you need to nominate your beneficiaries.

The lump sum is paid at the discretion of the Trustee, and therefore falls outside your estate and is generally free from inheritance tax.

Find out about the government’s proposed pensions and inheritance tax changes that will take effect from 6 April 2027.