How to withdraw from your Aviva pension - UK guide

If you’re approaching retirement, you might want to start thinking about how you’ll access your pension.

You might want to buy an annuity, withdraw a lump sum or perhaps even arrange to receive your pension overseas - if you have plans to retire abroad.

It all starts with finding out how to withdraw money from your pension scheme.

In this guide, we’ll be looking at how to withdraw from Aviva pensions in the UK. We’ll look at the rules, tax considerations and minimum retirement age restrictions, along with steps to access your money.

Considering retiring abroad? You’ll want to take a look at Wise.

You can use the Wise account to withdraw from your UK pension while living overseas, and even receive your UK state pension too.

Once you receive your pension in GBP, you can convert it to the local currency where you are using Wise’s mid-market exchange rates. There’s only a small fee* to convert currency, and you can do everything online.

This means you don’t lose out on currency exchange rate losses and can make your retirement savings go even further.

Withdrawing money from a Aviva pension

Like many other pension providers, Aviva offers a few different ways to access your pension pot.

If you have a defined contribution pension with Aviva, you can choose for one or a blend of these options:¹

• Buy an annuity - you can use some of your pension to buy a contract which provides a guaranteed regular income for life, and either withdraw the rest as cash or leave it invested
• Income drawdown - this is where you put your pension into ‘drawdown’, so you can have an income stream while keeping the rest of the money invested (instead of having it all tied up with an annuity).
• Withdraw a single or several cash lump sums - this is where you’ll take out cash as and when you need it.

If you want to, you can also choose to delay your retirement and not take any money from your pension. This means the money remains invested and your pension pot keeps on growing.

Before you make any big decisions on your pension, it’s strongly recommended to seek professional financial advice. You can also get information and guidance on the government’s Money Helper website.

Can I withdraw my pension early?

With Aviva, the minimum age you can withdraw your pension is 55 years old.²

However, this is increasing to 57 in April 2028, when changes to minimum pension age rules come into effect in the UK.² The only exception to this is people who have a protected pension age.

So it’s unlikely that you’ll be able to cash in your pension earlier than this. This is the case for many pension schemes, and even if you do find a way to take your pension pot out early, you could face an eye-watering tax bill.

This is because HMRC may consider you to have made an unauthorised payment, outside of the tax rules, which means a tax charge of 55%.³

Can I withdraw my UK pension with Aviva abroad?

Yes, you can access your UK pension with Aviva even if you move permanently to another country.⁴

Most of the same pension benefit options should be available - so you can choose to buy an annuity, put your pension into drawdown, take your pension pot in one lump sum or withdraw several lump sums.

Aviva does advise though that options may be restricted for UK pension holders who are living in France.⁴ You’ll need to get in touch to find out more, or take a look at government guidance here.

You can also continue to make contributions to your Aviva pension (up to a limit) if you move abroad, for up to 5 years.⁴

Is my Aviva pension eligible for transfer to another country?

Aviva pensions can also be transferred to other countries, but only under certain conditions.

The main one is that your new pension provider in the country you’ve moved to must be a qualifying recognised overseas pension scheme (QROPS).⁴

This is a list of government-approved pension schemes which meet certain criteria. You can check the current QROPS list here on the GOV.UK website, but remember that it is updated regularly. This means you’ll need to check back shortly before you plan to start your pension transfer.

There’s also a chance that you might have to pay an overseas transfer charge of 25%, depending where the overseas scheme is based and whether you’ve exceeded your personal allowance for pension transfers.⁵

Transferring a pension overseas can be pretty complicated, so it’s strongly recommended to get professional advice before starting the process.

How to withdraw money from your Aviva pension

Now, let’s take a look at the actual steps involved in withdrawing money from your Aviva pension.

Here are the main steps you’ll need to follow:

1. Work out the tax you’ll need to pay on the amount you plan to withdraw - we’ll look at this next, but Aviva also has a handy pension withdrawal tax calculator you can use.
2. Get professional financial advice, so you understand all the options available and can choose the best one for you
3. Call Aviva on 0800 158 3142 to discuss your retirement options and to start the process.⁶ They’ll walk you through the steps involved in withdrawing your money.

You can also use the Aviva app or log in to your My Aviva account online to manage your pension. You’ll be able to check your pension value, change details and make payments, but it’s likely that you’ll need to contact Aviva in order to start accessing your pension benefits.⁶

Things to consider

Before withdrawing your pension pot from Aviva, there are a few key things to consider:

• Whether you’ll have enough regular income in retirement if you withdraw your pension as a lump sum
• Check the terms and conditions on your pension to make sure there are no fees or charges for withdrawing funds.
• Income tax may be due on the amount you withdraw - we’ll look at this in more detail next, but you’ll need to make sure you can afford to pay it.

Tax considerations of withdrawing from Aviva pension

Before you make any decisions about your pension, it’s crucial to get to grips with the tax implications. Unfortunately, this can be one of the most complicated parts of managing your pension.

There are some key things you need to know.

Firstly, when it comes to withdrawals, 25% of the total will be tax-free. You’ll then pay income tax on the remaining 75% - this will be classed as part of your income for the year.²

There’s also your lump sum allowance to take into account. Currently set at £268,275, this is the total amount you can withdraw tax-free across all of the pension schemes you hold.²

So if you’re taking out a large lump sum, this could mean a substantial tax bill. This is why it's so important to seek financial or tax advice to make sure you understand your obligations.

You may also have tax charges to pay when transferring pensions abroad, depending on where your overseas provider is based and whether you’ve exceeded your personal allowance. Again, it’s best to seek advice from an expert.

Save money on pension withdrawals with Wise

After reading this, you should have a better idea of how to withdraw from your Aviva pension. You have a few different options, including the choice to mix and match different options to suit your circumstances.

It’s also good to know that you can withdraw or transfer your Aviva pension overseas, which is ideal if you’re planning to retire abroad.

But you’ll also need to think about how you’ll manage your money across international borders - without poor exchange rates and high fees eating into your retirement fund.

Wise offers the ideal solution for UK expats and retirees living abroad.

You can use your multi-currency Wise account to withdraw from your UK pension while living overseas, and receive your UK state pension too.

You can receive it in GBP, then convert it to the local currency where you are using Wise’s margin-free mid-market exchange rates. There’s only a small fee to convert currency, and you can do everything online.

There’s even a dedicated service for large amount transfers, helping you send pension funds between the UK and overseas securely. And if you’re sending more than £20,000 (or the currency equivalent), you’ll benefit from discounted fees too.

Get started with Wise

Sources used in this article:

1. Aviva - retirement options
2. Aviva - pension income drawdown
3. Money Helper - When can you take money from a pension?
4. Aviva - your Aviva pension overseas
5. GOV.UK - transferring your pension
6. Aviva - manage your Aviva pension

Sources last checked on date: 16-Jun-2025