Table of Contents
When was the last time you checked your pension? If you are like many people, you may have spent years contributing to a workplace or personal pension without taking a closer look at how it is performing or whether it still meets your retirement goals.
A pension review can help you understand how much you have saved, what charges you are paying, how your money is invested and whether your retirement plans remain realistic. It can also help you identify old pension pots, review your contributions and prepare for the next stage of life.
This pension review checklist covers 10 important things to check, whether retirement is still years away or you are preparing to access your pension soon.
Why Should You Review Your Pension?
Your pension is an important part of your long-term financial plans. However, your circumstances, income and retirement goals can change over time.
Regularly reviewing your pension can help you:
- Understand the value of your pension savings.
- Check whether your contributions remain suitable.
- Understand the charges associated with your pension.
- Review your investment choices and the risks involved.
- Find pension pots from previous employers.
- Estimate your potential retirement income.
- Identify questions that may require professional financial advice.
A pension review does not automatically mean you need to change providers or transfer your savings. Sometimes, the most useful outcome is simply confirming that you understand your arrangements and know what to expect.
Your Pension Review Checklist: 10 Essential Checks
- Check the Current Value of Your Pension
Start by finding out how much you have saved across your workplace and personal pensions.
Your latest pension statements should provide information about the current value of your pension savings, your contributions and, where available, projected retirement benefits.
If you have several pension pots, record each one separately so you can build a clearer picture of your overall retirement savings.
Remember that the value of a defined contribution pension can rise or fall with investment performance. A statement showing your current balance does not guarantee how much you will have when you retire.
Your checklist:
- Find your latest pension statements.
- Record the value of each defined contribution pension.
- Check projected benefits from any defined benefit pension.
- Make a note of any missing information.
- Review Your Pension Contributions
Your contributions can have a significant impact on the amount available for retirement.
Check how much you currently contribute and whether your employer makes additional contributions to your workplace pension. If your employer offers matching contributions, understand the conditions and whether you are receiving the amount you expect.
You may want to review your contributions after a pay rise, a change of job or a change in your household budget.
However, increasing pension contributions should fit your financial circumstances. Make sure you can still afford essential expenses and understand any applicable contribution limits and tax-relief rules.
Your checklist:
- Check your personal pension contributions.
- Confirm your employer’s contributions.
- Review any employer matching arrangements.
- Consider whether your contributions align with your retirement goals.
- Understand Your Pension Charges
Pension charges can reduce the amount of money that remains invested for your future.
Depending on your pension arrangement, you may pay administration fees, investment fund charges and other costs. Review your provider’s documents to understand the total charges and how they are applied.
If you have several pensions, comparing their charges may help you identify differences. However, a lower-cost pension is not necessarily better if transferring means losing valuable benefits or guarantees.
Consider charges alongside investment choices, service, flexibility and any special terms attached to your existing pension.
Your checklist:
- Identify the annual charges on each pension.
- Check investment fund fees and administration costs.
- Look for any applicable transfer or exit charges.
- Ask your provider to explain any costs you do not understand.
- Check Your Pension Investments
If you have a defined contribution pension, your savings are generally invested in funds or other assets. The investments you hold can affect both potential returns and the level of risk you take.
Review the funds in which your pension is invested and consider whether their approach remains appropriate for your retirement timeframe and financial circumstances.
Do not judge your pension solely on its performance over the last few months. Investment markets fluctuate, and past performance does not guarantee future returns.
If your pension has performed differently from your expectations, investigate the reasons before deciding whether changes are necessary.
Your checklist:
- Find out which funds your pension invests in.
- Understand the risks associated with those investments.
- Review performance over appropriate periods.
- Check whether your investment approach still suits your circumstances.
- Find Old or Forgotten Pension Pots
If you have changed jobs several times, you may have accumulated pensions with different providers.
These pensions can be easy to overlook, particularly if you moved house or stopped receiving statements. Finding them can help you understand your overall retirement position.
Make a list of previous employers and pension providers. Contact the relevant organisations if you need help locating your accounts.
Do not assume that combining all your pensions is the best option. Some older schemes offer valuable guarantees, protected benefits or favourable retirement terms that could be lost if you transfer.
Your checklist:
- List pensions from previous employers.
- Locate missing statements and provider details.
- Check the benefits attached to older pensions.
- Understand the implications before transferring or consolidating.
- Review Your Retirement Age
Your intended retirement age affects how long you have to save and when you may need to start drawing an income.
Consider whether your original plans remain realistic. You may now want to retire earlier, work for longer or reduce your working hours gradually.
Check when each pension can be accessed and whether any scheme-specific restrictions or early-retirement reductions apply. Your private pension access age and State Pension age may differ.
If you are approaching retirement, reviewing these dates can help you plan how to fund the period between finishing work and receiving different sources of retirement income.
Your checklist:
- Confirm your target retirement age.
- Check the access rules for each pension.
- Review any early-retirement conditions.
- Check your State Pension forecast.
- Estimate Your Retirement Income
Knowing your pension balance is useful, but it is equally important to understand how much income you may need in retirement.
Start by preparing a realistic budget. Include essential expenses such as housing, food, utilities and transport, as well as leisure activities, holidays and unexpected costs.
Then consider the income you may receive from your private pensions, the State Pension, savings and other sources.
Comparing your expected income with your estimated spending can help you identify a potential shortfall and consider your options.
Remember that projections are estimates rather than guarantees. Investment performance, inflation, tax and the way you access your pension can all affect your eventual income.
Your checklist:
- Estimate your essential retirement expenses.
- Include discretionary spending and unexpected costs.
- Review your expected pension and other income.
- Identify any potential gap between income and spending.
- Check Your Pension Beneficiaries
Many pension schemes allow you to nominate people you would like to receive benefits when you die.
The relevant form may be called an expression of wish or beneficiary nomination. Check that your details remain up to date, particularly after marriage, divorce, bereavement or another significant family change.
The way pension death benefits are paid depends on the scheme’s rules and the type of pension. A nomination does not necessarily determine the final outcome in every case.
If you are unsure who may receive your pension benefits, ask your provider to explain the arrangements.
Your checklist:
- Review your beneficiary nomination.
- Update outdated details with your provider.
- Check the scheme’s death-benefit rules.
- Ask questions if your circumstances have changed.
- Understand Your Pension Withdrawal Options
If you are approaching retirement or have already reached the point where you can access your pension, review the options available under your scheme.
Depending on your pension, you may be able to take some tax-free cash, use pension drawdown, purchase an annuity or take taxable lump sums.
Each option has different implications for tax, investment risk, income security and how long your money may last.
Before making a decision, consider your essential income needs, other financial resources and the risks of withdrawing too much too soon.
Some decisions can be difficult or impossible to reverse. If you are unsure which option suits your circumstances, consider seeking regulated financial advice.
Your checklist:
- Identify the withdrawal options available.
- Consider how much guaranteed income you may need.
- Understand the tax implications.
- Check the long-term consequences before withdrawing money.
- Review Your Pension Provider and Scheme Terms
Finally, make sure you understand the provider responsible for your pension and the terms attached to your scheme.
Check whether your pension offers guarantees, protected benefits, special retirement conditions or restrictions that could affect your future choices.
If you are considering transferring your pension, compare the full implications rather than focusing solely on headline charges or investment performance.
This is particularly important if you have a defined benefit pension, which may promise a retirement income based on your salary and years of service rather than the value of an investment pot.
Your checklist:
- Confirm your provider’s contact details.
- Read your latest pension documents.
- Identify valuable guarantees or protected benefits.
- Understand the consequences before making changes.
When Should You Review Your Pension?
An annual review can be a useful starting point, but you may need to check your pension sooner if your circumstances change.
Consider reviewing your pension when you:
- Change jobs or leave an employer.
- Receive a pay rise or experience a change in income.
- Get married, divorce or experience a bereavement.
- Discover a pension from a previous employer.
- Approach retirement or change your intended retirement date.
- Consider transferring, consolidating or accessing your pension.
- Discover charges or investment arrangements you do not understand.
You do not need to make changes every time you review your pension. The purpose is to understand your position and decide whether anything needs further attention.
Can You Review Your Pension Yourself?
Yes. You can complete many basic pension checks yourself by reviewing your statements, contributions, charges and investment information.
A simple review can help you organise your pension details and identify questions you need answered.
However, professional advice may be useful if you have several complex pension arrangements, valuable guarantees, questions about tax or plans to transfer your savings or choose a retirement income option.
A regulated financial adviser can assess your personal circumstances and make recommendations where appropriate. Before proceeding, understand the services offered and any fees involved.
Common Pension Review Mistakes to Avoid
When reviewing your pension, be careful not to make decisions based on incomplete information.
Focusing only on recent performance: Investment values fluctuate. Consider the investment strategy, level of risk, charges and appropriate performance periods.
Assuming lower charges are always better: A cheaper pension may offer different benefits, investments or levels of flexibility.
Transferring pensions without checking guarantees: Valuable benefits or favourable terms could be lost when transferring an older pension.
Ignoring your retirement spending: A pension balance alone does not tell you whether your future income will cover your needs.
Making rushed decisions: Be cautious of unsolicited approaches, pressure to transfer your pension or promises of unusually high or guaranteed returns.
Taking time to understand your existing arrangements can help you avoid unnecessary risks.
Pension Review Checklist: Quick Summary
Use this final checklist to check that you have covered the main areas.
- Current pension values and projected benefits.
- Personal and employer contributions.
- Pension charges and fees.
- Investment choices, performance and risk.
- Old and forgotten pension pots.
- Target retirement age and pension access dates.
- Expected retirement income and spending.
- Beneficiary nominations and death benefits.
- Pension withdrawal options and tax implications.
- Provider terms, guarantees and transfer conditions.
You do not have to resolve every question immediately. Start by gathering the information you have and making a note of anything that needs clarification.
Frequently Asked Questions
How often should I review my pension?
An annual check can be a useful starting point for many people. You may also want to review your pension after major life events, a change of employment or when approaching retirement. The appropriate frequency depends on your circumstances.
What documents do I need for a pension review?
Gather recent pension statements, provider details, information about contributions and charges, investment information and retirement projections. If you have several pensions, prepare a list of each scheme and its benefits.
Should I combine my old pension pots?
Not necessarily. Combining pensions may make them easier to manage, but you could lose valuable guarantees, protected benefits or favourable terms. Compare the full implications before deciding whether a transfer is appropriate.
Can I review my pension without a financial adviser?
Yes. You can check your pension statements, charges, contributions and retirement projections yourself. If you need personalised recommendations about investments, transfers, tax or retirement income, consider consulting a regulated financial adviser.
Does a pension review cost money?
Basic checks can be completed yourself without paying for financial advice. Some firms offer an initial review or introduction service without charge, while personalised financial advice may involve fees. Always confirm the scope of the service and any costs before proceeding.
What should I do if my pension seems to be underperforming?
Check your investment choices, charges, risk level and performance over an appropriate period. Recent underperformance does not automatically mean your pension is unsuitable. Understand the reasons before making changes, and consider regulated financial advice if you are uncertain.
Final Thoughts
Reviewing your pension can help you understand your retirement savings, identify missing information and check whether your arrangements remain suitable for your circumstances.
By following this pension review checklist, you can take a more organised approach to your pension values, charges, investments and future income needs.
You do not need to make major changes simply because you have completed a review. The important thing is to understand your options, identify any issues and make informed decisions about your retirement.
Want Help Reviewing Your Pension?
If you would like help understanding your pension arrangements, SeniorWise can introduce you to an adviser from a partner firm for a pension review.
SeniorWise is an introducer and does not provide financial advice itself. Any personalised advice or recommendations are provided by the relevant authorised adviser.
