How pension death benefits work, nomination forms, DC vs DB pensions, current tax rules, and the confirmed pension IHT reporting changes from April 2027.
This guide is part of ProbateHelp's Estate Assets guide cluster. Estimated reading time: 15 min.
Yes. Each pension scheme is separate and must be contacted individually. Check paperwork, payslips, bank statements, old employers, and emails for provider names. The GOV.UK Pension Tracing Service can help find pension contact details, but it will not confirm whether a pension exists or tell you its value.
It depends on the scheme rules and any nomination form. Many defined contribution schemes can pay nominated partners, but some defined benefit schemes restrict survivor pensions to spouses, civil partners, and dependants. An unmarried partner should contact the scheme quickly and provide evidence of the relationship and financial dependency if requested.
The remaining drawdown pot can usually be paid to nominated beneficiaries as a lump sum or kept in beneficiary drawdown. If the pension holder died before age 75, payments are usually income-tax free if the rules and allowances are met. If they died aged 75 or over, withdrawals are normally taxed as the beneficiary's income.
For most discretionary pensions, no. They do not pass under the will and are not included in the probate estate. Ask each provider whether the benefit is discretionary and whether any payment is being made to the estate. If a pension benefit is paid to the estate, it may need to be included and handled by the executors.
If a lump sum is paid more than two years after the pension provider is told of the death, income tax can apply to the whole lump sum even where the pension holder died before age 75. Tell pension providers about the death as soon as you can and keep a record of the notification date.