Pension Lump Sum & Withdrawal Tax Estimator
For UK defined contribution pensions only. Informational only, not financial advice or tax advice. Actual tax depends on your full circumstances and provider payroll treatment.
Scottish income tax rates differ. This tool uses England/Wales/Northern Ireland income tax bands by default.
Estimated withdrawal result
Enter values to estimate tax-free cash, taxable amount, and likely income tax on this withdrawal.
Tax-free now-
Taxable now-
Estimated income tax due on this withdrawal-
Estimated net received now-
| Item | Amount |
|---|---|
| Awaiting calculation | - |
How we calculated this
- For this MVP estimate, we assume no previous use of the Lump Sum Allowance and apply the current shared cap.
- Tax is estimated by comparing total tax before and after adding taxable pension withdrawn now.
- This estimator does not model tapered personal allowance, devolved tax regimes, salary sacrifice, or all edge cases.
Emergency tax may be applied on first withdrawals (Month 1 basis), causing temporary over or underpayment until HMRC reconciliation or reclaim.
Common mistakes
- Assuming the full 25% is always available if you have already used part of your Lump Sum Allowance across other pensions.
- Confusing an emergency tax deduction on first withdrawal with final yearly tax due.
- Using Scottish taxpayer circumstances with non-Scottish tax bands.
- Treating tax-free lump sum and later taxable income as if they are taxed the same way at the same time.