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Is a pension part of the 'Estate'

If you are nominated in a will to receive a pension when someone dies does this pension become part of their estate?
#6 of the SKI-ers Club :j

"All that is necessary for evil to triumph is for good men to do nothing" Edmund Burke

Comments

  • atush
    atush Posts: 18,731 Forumite
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    No, but I don't think you can nominate by will that way.

    Pensions can be inherited by the beneficiary listed with the pension company such as the spouse or dependant children if the pension has not been taken/started before the time of death. If they are already taking a pension, and they die, if there was any provision for a spouse pension on death this would be paid ie a survivors pension. But this can cost more, and is the decision of the pension holder at retirement.
  • Aegis
    Aegis Posts: 5,695 Forumite
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    No, it's almost always paid directly, but bear in mind that it may be subject to a special charge of 55% if the benefits have been crystallised or if the policyholder is over 75. There are exceptions if you're financially dependent or a spouse.
    I am a Chartered Financial Planner
    Anything I say on the forum is for discussion purposes only and should not be construed as personal financial advice. It is vitally important to do your own research before acting on information gathered from any users on this forum.
  • tanith
    tanith Posts: 8,091 Forumite
    Part of the Furniture Combo Breaker
    Sorry now I think about it they are the nominated beneficiary listed with the pension company. Does this pension become part of the deceased persons estate? as there are some debts to be covered.
    #6 of the SKI-ers Club :j

    "All that is necessary for evil to triumph is for good men to do nothing" Edmund Burke
  • Linton
    Linton Posts: 18,350 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Hung up my suit!
    edited 14 February 2012 at 11:19PM
    tanith wrote: »
    Sorry now I think about it they are the nominated beneficiary listed with the pension company. Does this pension become part of the deceased persons estate? as there are some debts to be covered.

    If there is a nominated beneficiary the money idoes not form part of the estate. If there is not then it does.
  • tanith
    tanith Posts: 8,091 Forumite
    Part of the Furniture Combo Breaker
    Thank you I can put someones mind at rest now...
    #6 of the SKI-ers Club :j

    "All that is necessary for evil to triumph is for good men to do nothing" Edmund Burke
  • Linton
    Linton Posts: 18,350 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Hung up my suit!
    More details here
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