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IHT Planning with Retirement Planning

These two subjects are inextricably linked in that a decent retirement plan can enhance an IHT plan. While no IHT will be paid, if the pension holder is over 75 at the time of death the beneficiaries will be liable to income tax on pension benefits drawn. I.e. if no benefits are drawn, no income tax is paid.

How it works


IHT planning is the allocation of money that you don’t spend during your retirement. The two will always work hand in hand and in recognising this you can only improve your position.

For example, any money that is held in a pension at the time of your death can sidestep your estate and get passed to your beneficiaries without IHT.


So, if you happen to have an extra £100,000 of your estate in a pension due to proactive planning, you could save up to £40,000 of IHT.

Of course, due to the pension freedoms act that £100,000 is still accessible, but unless you need it, outside of your estate. For this reason, the earlier you look at IHT planning the better.


Please don’t misunderstand, we’re not saying everybody must act now. In many cases waiting until you are older is the right decision.

However, there are clients that benefit from making early moves with their money. Moves that don’t really affect their lives, but that save IHT.

IHT Planning is best dealt with holistically, taking into account all of your finances and goals

We have many years of experience in advising clients across the country who wish to protect their estate, and we provide a tailored service for each individual. Our company is well qualified to answer questions and enable you to organise your assets.

If you have any questions or queries call us on: 0800 093 4115


0800 093 4115
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0800 093 4115