Ndubuisi 'Andy' EgwimMoney Coach for Medics|Ex-NHS GP|21+ Yrs Investor| Founder, MoneyWiseDoctor.com|Helping Medics Avoid Big Money Mistakes

Earning Income from Your Pension Tax-Free?

2 Aug 2025 · 0 min

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A short excerpt from a YouTube conversation (recorded Aug 2, 2025) where Ndubuisi 'Andy' Egwim discusses tax implications of drawing income from pensions. Key points: pension withdrawals are taxed at the payer's current income tax rate; if withdrawals fall at or below the personal tax allowance, no tax is due. The speaker also comments that the personal tax allowance has lagged (mentions figures verbally) relative to inflation.

Questions this video answers

August 2, 2025

It is taxed at the current income tax rate.

There will be zero tax.

So that could be that the commercial property then pays you an income. Yeah. So yes, you got it correctly. If you draw any income from your pension, it's taxed at the current tax rate for income.
Okay. So if it's below or at the tax allowance rates, you will not get any tax.
There will be zero tax. Basically. I don't know why tax I don't know why PTA is still 12, 5, 7 0. It's very funny is what we call fiscal drug because inflation is happening and the prices. But the personal tax allowance should have been about 20k. Isa should have been somewhere like 40k. Now at this point.