Retirement planning advice: free help to use before you pay
Written and reviewed by the Later Life editorial teamUpdated 4 min read
Free guidance from Pension Wise, MoneyHelper and Citizens Advice can explain your retirement options at no cost. Retirement planning advice is different: a regulated adviser makes a personal recommendation for your circumstances and is responsible for it, usually for a fee. Many people start with free guidance and then decide whether they need paid advice.
Guidance and advice are not the same
Guidance explains how things work and what the options are, in general terms. It does not tell you which option to pick, and the decision stays with you.
Advice is a personal recommendation based on your circumstances. A regulated adviser has to make sure it is suitable for you and put the reasons in writing. If advice turns out to be unsuitable, you can complain to the firm and then to the Financial Ombudsman Service.
Neither is automatically the right fit. Free guidance may be all you need for a simple decision. For a decision involving your home, a large pension or tax, advice may give you more protection.
Pension Wise: free guidance on pension pots
Pension Wise is a free, government-backed service for people aged 50 or over with a defined contribution pension, meaning a pot of money built up from contributions.
What a Pension Wise appointment covers
A specialist explains the ways you can take money from your pot: leaving it invested, taking tax-free cash, drawing an income, buying an annuity, taking lump sums or mixing these. You get a summary afterwards. For more on these choices, see our guide to pension options at 55.
How to book
You can have an appointment online, by phone or, if phone is difficult, by video. New face-to-face bookings have been paused. Appointments usually last up to 60 minutes, and adjustments such as interpreters or longer appointments are available.
What it will not do
Pension Wise will not tell you which option to choose or recommend a product or provider. Bring your pension statements and State Pension forecast so the conversation fits your situation.
MoneyHelper: wider money and pensions questions
MoneyHelper is a free service from the Money and Pensions Service, backed by government. It brought together the Money Advice Service, The Pensions Advisory Service and Pension Wise. You can use its website, helpline, webchat or email.
It can help with questions Pension Wise does not cover in the same depth, such as defined benefit (final salary) pensions, the State Pension, pensions on divorce and budgeting. Its website also explains home-based options such as equity release and selling your current home and moving. Like Pension Wise, it gives guidance, not recommendations.
Citizens Advice and benefits help
Citizens Advice is a free, independent charity. It can help with benefits checks, including Pension Credit, as well as debt, housing and consumer problems. Many councils and local charities also run welfare rights services that can check what you may be entitled to.
Many people find a benefits check useful before any decision to release money from your home or pension. Extra savings or income can reduce means-tested support.
When retirement planning advice may be needed
Free guidance cannot give you a personal recommendation. Regulated advice may be needed, or required, in situations like these:
- Transferring a defined benefit pension. If it is worth over £30,000, you must get regulated financial advice before transferring it to a defined contribution scheme.
- Equity release. FCA rules require firms selling equity release to give advice. A customer who has been given advice and rejects it can choose to go ahead without it, known as an execution-only sale, but the firm must not encourage this and must keep a record of the advice that was rejected.
- Mortgages in later life. Options such as retirement mortgages involve affordability checks and long-term costs that an adviser can compare.
- Complicated tax or large sums, such as combining pension withdrawals with property decisions, or planning for inheritance tax.
To understand the types of adviser, how they charge and how to check them, see our guide to finding a retirement financial adviser. We cover that there so we do not repeat it here.
Check who you are talking to
Pension Wise, MoneyHelper and Citizens Advice do not sell financial products. If someone contacts you out of the blue about your pension or home, be cautious. Check any firm on the FCA Register before you share details, and use the phone number shown there rather than one you were given.
A simple order to follow
- Read around the topic, for example in our later-life finance guides.
- If you have a pension pot, a free Pension Wise appointment can explain your options.
- Use MoneyHelper or Citizens Advice for wider questions, including benefits.
- If you need a personal recommendation, speak to an FCA-regulated adviser.
This page is information, not financial advice. We do not provide financial advice.
Frequently asked questions
Is Pension Wise the same as financial advice?
No. Pension Wise gives free, impartial guidance on the ways you can take money from a defined contribution pension. It explains the options and the tax rules but does not tell you which option to choose or recommend a product. If you want a personal recommendation, you would need a regulated financial adviser, who usually charges a fee.
Who can book a Pension Wise appointment?
Pension Wise is for people aged 50 or over who have a defined contribution pension, meaning a pot built up from contributions. It does not matter how large or small the pot is. You can book through MoneyHelper for an online, phone or video appointment. Adjustments such as interpreters or longer appointments are available if you need them.
What can MoneyHelper help with that Pension Wise does not?
MoneyHelper covers a wider range of money and pension questions, including defined benefit pensions, the State Pension, pensions on divorce, budgeting and debt. It also publishes information on home-based options such as equity release. Like Pension Wise, it is free, backed by government and gives guidance rather than personal recommendations.
When must I get regulated advice rather than guidance?
Advice is required in some cases. If you want to transfer a defined benefit pension worth over £30,000 into a defined contribution scheme, you must get regulated advice first. Firms selling equity release must also give advice, although a customer can reject it in limited cases. For other decisions, advice is optional but may give you more protection, because the adviser is responsible for the suitability of what they recommend.
Can Citizens Advice help with retirement money questions?
Yes, for some questions. Citizens Advice is a free, independent charity that can help with benefits checks, including Pension Credit, as well as debt, housing and consumer problems. It does not recommend financial products. For pension choices, Pension Wise or MoneyHelper may be more relevant, and for a personal recommendation you would need a regulated adviser.
