What benefits am I entitled to in retirement?

The state pension

Until quite recently, if you were to say the word 'pension' most people would probably assume you were talking about the pension provided by the state. And even now, with personal pension plans playing a much bigger part in many people's retirement planning, it's still important to consider how much you'll receive from the state pension and any other benefits which you may be entitled to

How much could you get from the state pension?

In April 2016, the government introduces a new state pension. While the final rate is yet to be set, in our opinion it is unlikely to be much higher than the minimum level they have set of £148.40 a week

That's £7,717.00 a year.

Could you get by on this amount if you don't have a pension of your own, or any other ways to boost your income?

Putting the state pension into perspective…

According to the Office of National Statistics, the current average UK wage is

per year

The Money Advice Service recommends using between half and two thirds of your salary as a useful rule of thumb when planning for your retirement needs. Half the UK average wage is

per year

The state pension from April 2016 will be

per year

So the difference between the state pension and just half the UK average wage is still

per year

Use My Retirement Planner to assess the estimated future value of your pension income you may receive in retirement

How does the state pension work?

State pension is a benefit based on your national insurance contributions. You can start claiming it once you reach state pension age. This used to be 60 for women and 65 for men, but it's changing for most people and now depends on the year you were born. It’s possible that you’ll start receiving money from any other pensions you may have at a different age.

You can find out more about the State Pension by visiting the UK Government page about State Pension

What other benefits might I receive?

Pension credit

Pension credit is an income-related benefit made up of 2 parts - guarantee credit and savings credit.

Find out more on pension credit

Important – changes to Savings Credit

As part of the Pensions Act 2014, the saving credit part of pension credit will close for people reaching State Pension age on or after 6 April 2016.

Council tax reduction

If you're eligible, you could get up to 100% reduction on your council tax bill. To find out how much you might receive, ask your local council at the UK Government local councils page.

Housing benefit

If you pay rent, you could get housing benefit. This depends on the level of your income and savings. To find out whether you qualify, visit the UK Government page about housing-benefit.

Personal independence payment

You may be able to claim for money to help with extra costs caused by a disability. Find out more at the UK Government page about Disability Living Allowance.

Free NHS healthcare

If you're over 60, you should get free prescriptions, eye tests and chiropody on the NHS. And if you receive pension credit, you could also get free NHS dental treatment. When you reach 65, you'll get a free flu jab every year, too.

Winter fuel payment and cold weather payment

These seasonal benefits could help you save money on energy costs. Follow these links to find out more about the winter fuel payment and cold weather payment on the UK Government pages.

Free TV license

When you reach 75, you can get your TV licence for free.

Get full details and apply online at the TV Licence website.

Free bus pass

When you reach the state pension age, you can get free off-peak travel on local buses, anywhere in England. Enter your postcode on the UK Government free bus pass page to find out how to claim your free bus pass.

Senior rail card

A senior rail card will cost you £30 for one year or £70 for three years. With it, you'll save a third of the cost of rail journeys throughout Britain. Buy one online at the senior railcard site or ask at the train station.

Call us now for more information

If you’re new to Aviva

0800 285 1088

Lines are open Monday to Friday, 8.00am-6:30pm.

Saturday, 9.00am-12noon.

Or if you’re already a customer

0800 158 3470

Please be aware this line is very busy at the moment, we are doing all we can to answer your call.

Lines are open Monday to Friday, 9am-5pm.

Calls from UK landlines and mobiles are free. For our joint protection, telephone calls may be recorded and/or monitored.

Find out how we can help you when you call our teams

If you need some help or information from Aviva, please call us on one of the numbers above. We can help you with:

  • Using our website
  • All the facts about Aviva products and services
  • More details on the options you can choose from when you’re making decisions about your retirement
  • Information on where to find financial advice
    • Although we can’t give you advice, we can put you in touch with an adviser who can talk to you about which financial products or investments may be right for you.
    • Alternatively, you can visit www.unbiased.co.uk to find an adviser in your area.

Back to top