Pension advice is about turning a scattered collection of pots into a single, deliberate plan, one that decides how much to save, where it sits, when to draw it, and what happens to it when you die. A good adviser starts by finding every pension you hold, including the ones you have forgotten.
What a pension adviser actually does
Most people reach their fifties with pensions from several employers, perhaps a personal plan or two, and a vague sense that some are lost entirely. An adviser traces them, values them, and reads the small print, because the small print is where the money is. The work usually covers consolidating pensions into fewer, cheaper plans where that is sensible; tracking down lost pensions through the Pension Tracing Service and old paperwork; and deciding whether a self-invested personal pension (SIPP) or a simpler stakeholder plan suits how you want to invest.
The larger questions come at retirement. How much of your tax-free cash to take, and when. Whether to move into pension drawdown, buy an annuity, or combine the two. How to keep withdrawals inside the £60,000 annual allowance while you are still contributing. And how your pension fits the rest of your retirement plan, the State Pension, ISAs, and any other income.
Consolidating pensions, and when it is a mistake
Bringing pots together can lower charges, cut paperwork, and make an income strategy far easier to run. But consolidation is not always right, and the losses from a careless transfer are permanent. Before moving anything, an adviser checks each plan for the features below.
- 1
Guaranteed annuity rates
Some older plans promise an income rate far above today’s market. Transferring out forfeits it for good, often the single most valuable thing a pension can hold.
- 2
Exit penalties
A minority of contracts charge a fee to leave. On a plan close to maturity the penalty can wipe out any saving from lower ongoing charges.
- 3
Protected tax-free cash
A handful of schemes allow more than 25% tax-free. That protection is usually lost the moment the money moves.
- 4
Safeguarded benefits
Guaranteed or defined-benefit rights are protected in law. Giving them up is rarely reversible and, above a threshold, requires specialist advice.
Defined-benefit transfers over £30,000 need a specialist
If you hold a final-salary or other defined-benefit pension worth more than £30,000, the law requires you to take advice from a pension transfer specialist before you can move it. Most transfers turn out to be the wrong choice. See pension transfer advice for how that regulated process works.
Drawdown or annuity, the income decision
Once you stop working, the pension has to pay you. There is no longer a default: you choose how to convert the fund into income, and the choice shapes the rest of your life.
Drawdown
- Fund stays invested: it can grow, and can fall
- You control how much to take and when
- Whatever is left can pass to beneficiaries
- Risk of drawing too fast and running out
Annuity
- A guaranteed income for life, paid whatever markets do
- No investment decisions once it is set
- Rate is fixed at purchase and usually cannot be changed
- Often nothing left for heirs unless you add options
Many people blend the two, an annuity to cover essential bills, drawdown for flexibility on top. Investments held in drawdown can fall as well as rise, and an adviser stress-tests your withdrawal rate against poor markets so a bad early run does not empty the pot.
Who needs pension advice, and who does not
If you have one workplace pension, years from retirement, and you are simply paying in, you may not need an adviser yet: the free guidance from Pension Wise and your provider may be enough. Advice earns its keep at the decision points: consolidating several pots, choosing an income route, taking tax-free cash, or planning around the April 2027 inheritance tax change that brings unused pensions into your estate. If any of those apply, the cost of getting it wrong dwarfs the fee.
What it costs, and how we vet advisers
A pension adviser typically charges an initial fee of around 1%–3% for setting up a plan or arranging a consolidation, then 0.5%–1% a year to review it, or a fixed fee for defined work. You should always see the figure in pounds, and what the ongoing charge buys, before you commit. Vetted Wealth is free to you: adviser firms pay us, and we introduce, we never advise. Every firm we match you with is FCA-regulated, and where a defined-benefit transfer is involved we only introduce specialists who hold the required permission. You can compare local specialists through our Devon and Cornwall hubs, and read exactly how we vet advisers before you speak to anyone.
Key takeaways
- Find every pot first, consolidation only makes sense once you know what each one holds.
- Guaranteed annuity rates, exit penalties, protected cash and safeguarded benefits are reasons to leave a pension where it is.
- A defined-benefit pension worth over £30,000 legally requires a specialist before you can transfer it.
- Drawdown, annuity or a blend is the income decision that shapes retirement, model it, do not default into it.
- From April 2027 unused pensions count for inheritance tax, so review how much you hold in a pension before then.
Where we operate
Vetted Wealth is live across Devon and Cornwall, with further counties opening through 2026. Choose your county to see the towns we cover and the advisers we have vetted there.
Most people start on their county page and then pick their town. If you would rather skip that, use the form on this page, tell us where you are and we will match you with a vetted pension advice specialist near you.
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This page is information, not personal advice. When you are ready, we will introduce you to an independently vetted, FCA-regulated adviser, free, and with no obligation. Investments can fall as well as rise and you may get back less than you invest.