Pension lump sum tax calculator

Thinking of taking a lump sum from your pension? See how much is tax-free and what you'll pay on the rest — updated for 2026/27.

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Your lump sum

Lump sum you're taking

Other taxable income this tax year

Salary, pension income or other earnings in the same year.

Tax on the lump sum

—

Tax-free portion
(25%)

—

You receive
(after tax)

—

You can usually take 25% of your pot tax-free, up to a lifetime maximum of £268,275 (the lump sum allowance). The rest is taxed as income at your marginal rate.

Estimate only — not financial advice. Protected allowances, other pension withdrawals and scheme-specific rules aren't modelled.

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