Reviewing your annual SIPP statement and what to do next

Published by Andy Leggett on

Our expert

  • Andy Leggett

    Andy Leggett

    Principal and Head of SIPP Business Development


    Covid-19 update: The beginning of the tax year always sees a surge in the issuing of annual SIPP statements to members from pension providers.  The briefing note analyses what the statement sets out to explain, and what actions the recipient may wish to consider in light of its contents.


    Receiving your annual statement and statutory money purchase illustration is a good opportunity to review your pension arrangements and make any adjustments.

    The annual statement will tell you what the size of your fund is on a given date. But what’s really important to most people is how much income the fund will generate once they start taking benefits. The statutory money purchase illustration aims to estimate how far your money will go in the future, taking into account various assumptions. However, there is no guarantee that what actually happens in future will match this calculation.

    "It’s important not to give up in the face of uncertainty. The answer is to keep planning, reviewing and adjusting. Get as near to the target as you can."

    This briefing note pulls together some ideas to help you when reviewing your annual statement and deciding what to do next. We discuss increasing your contribution levels and delaying the dates you start withdrawing funds from your pension. We also consider the risk of exceeding your Lifetime Allowance (LTA), transferring-in other pension arrangements and what you should consider if holding a significant amount of your fund as cash.

    To continue reading, please download the briefing note below.