Getting to grips with death benefits

DEATH BENEFITS

clock

Ian Linden, technical manager, pensions, at James Hay Partnership, highlights the importance of getting to grips with death benefits.

No one can say with any certainty they will be alive tomorrow, though, from a pension planning perspective, the ideal would be to die young – but not too young – and preferably before age 75! In such a scenario, the member should have achieved the maximum tax efficiency through their pension arrangement, namely – tax relief on their contributions, growth in a tax advantaged environment, no tax charge on uncrystallised funds and no IHT liability on the pension fund as a whole. Unfortunately, life is not that predictable and therefore any holistic financial plan has to attempt to encompass...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Your profession

Not just a people problem: Why adviser and paraplanner friction is a structural issue

Not just a people problem: Why adviser and paraplanner friction is a structural issue

‘Friction between advisers and paraplanners rarely appears out of the blue’

Duncan Lancashire
clock 02 July 2026 • 4 min read
FSCS pays out more than £125m for unsuitable advice

FSCS pays out more than £125m for unsuitable advice

Unsuitable investment, pension and SIPP advice drive 2025/26 compensation costs

Isabel Baxter
clock 02 July 2026 • 2 min read
Feel Good Friday: Free paraplanning mentoring initiative expands

Feel Good Friday: Free paraplanning mentoring initiative expands

The Paraplanner Club partners with Fundment

Professional Adviser
clock 02 July 2026 • 1 min read