{"id":83460,"date":"2025-08-20T22:26:10","date_gmt":"2025-08-20T22:26:10","guid":{"rendered":"https:\/\/www.newsbeep.com\/au\/83460\/"},"modified":"2025-08-20T22:26:10","modified_gmt":"2025-08-20T22:26:10","slug":"state-pensioners-warned-bank-accounts-could-be-drained-over-age-55-rule","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/au\/83460\/","title":{"rendered":"State pensioners warned bank accounts could be drained over ‘age 55’ rule"},"content":{"rendered":"

One pension expert has warned UK households over the things to keep in mind if you’re part of the majority accessing pension funds before hitting Department for Work and Pensions (DWP) state pension age.\"StateState pensioners warned bank accounts could be drained over ‘age 55’ rule<\/p>\n

As many as 70 per cent of under-65s are “risking” their retirement with an early pension pot mistake<\/a>. One pension expert has warned UK households over the things to keep in mind if you’re part of the majority accessing pension funds before hitting Department for Work and Pensions (DWP) state pension age.<\/p>\n

Lisa Picardo, Chief Business Officer UK at Pension Bee, warned that accessing a pension early could easily see people \u201cdraining their pension pot before they reach retirement\u201d.<\/a><\/p>\n

In 2015, the pension freedom rule change allowed people to access their pension from the age of 55. Lisa told Express:<\/a> \u201cThe key is planning ahead and withdrawing sustainably.<\/p>\n

READ MORE Plum makes major change for users with some set to see bonus \u00a32,078<\/a><\/p>\n

\u201cWork out how much you might need each year from your personal pension in addition to what\u2019s available from your State Pension, factor in inflation and tax, and consider leaving as much as possible invested to keep growing.<\/p>\n

“Even small adjustments to how much and how often you withdraw can make a big difference to your future income in later life.<\/p>\n

\u201cMost importantly, remember your pension needs to last a lifetime. It needs to be there to support you for the whole of your retirement, not just the early years, so pacing yourself can help you enjoy the journey without running out of fuel.\u201d<\/p>\n

The pension expert explained: \u201cRather than people raiding their pots the moment they turn 55, we’re seeing more sensible behaviour, and people are waiting until they’re genuinely approaching, or are in retirement, before making significant withdrawals.<\/p>\n

“This may be reflective of longer working lives, delayed retirements and increased longevity.<\/p>\n

\u201cBack in 2016, people in their late fifties were the biggest users, taking 42% of all taxable withdrawals, followed by 28% in their early 60s, and 30% in the over 65 age category.<\/p>\n

\u201cNow the 55-59 group has dropped to just 26%, with a stable 28% in their early 60s, and 46% of taxable withdrawals from the over 65s.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"One pension expert has warned UK households over the things to keep in mind if you’re part of…\n","protected":false},"author":2,"featured_media":83461,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[14],"tags":[64,63,99,16884,186,184,185],"class_list":{"0":"post-83460","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-personal-finance","8":"tag-au","9":"tag-australia","10":"tag-business","11":"tag-dwp","12":"tag-finance","13":"tag-personal-finance","14":"tag-personalfinance"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/83460","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/comments?post=83460"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/83460\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media\/83461"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media?parent=83460"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/categories?post=83460"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/tags?post=83460"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}