What is Phased Drawdown?
- Phased drawdown is where you do not use all you pension fund to provide benefits and, instead, you can elect to take benefits in stages to form part of your financial planning. It is normally possible to take part of your pension fund in the form of a Pension Commencement Lump Sum (PCLS) and leave the balance to provide income on either a capped or flexible basis or annuity purchase.
- With phased drawdown you can crystallise further benefits at a later date, either part or in full, to suit your circumstances. You can draw your PCLS in instalments at intervals to suit until such time as you have crystallised your entire fund.
We at PML can guide you through the “at retirement” planning process. Contact us for advice.