Pension Wise Financial Inclusion Action Group Stephanie Brown – Pension Wise Guidance Specialist Introduce yourself/yourselves: Name, your role within Pension Wise. Example: I’m Emma. I’m a guider working out of Leeds Citizens Advice Bureau. As a guider I run the Pension Wise guidance sessions, taking you through what you can do with your money and helping you come out from the session better informed of your options. If you book in for a guidance session, you’ll be talking to me or one of my colleagues.

What I will cover today What is Pension Wise? Who is suitable for the service? The guidance session Case Study Questions Quick run through of what will be covered in the session today. Outline any safety (fire alarms, exits etc.) instructions. Outline that people can ask questions as we go through the presentation. REMEMBER to update the red section in square brackets.

What is Pension Wise? Free and impartial government service Defined contribution (DC) pensions To help people understand their options To help people avoid falling victim to scams Face to face appointments available at CAB Pension Wise is a free and impartial government service about your defined contribution pension options. Explain what a defined contribution pension is (NB many people have difficulties with this) Outline the differences between a defined contribution pension (which would be affected by the reforms) and a defined benefits pension (which would not be affected by the reforms and therefore holders of this kind of pension, with a few exceptions, would not benefit from Pension Wise) This may need more explanation is the audience is still unsure of the difference To help people understand the options available to them, and be more informed about pensions when making decisions and discussing with pension providers Guidance, not advice Expand on the last point on the slide to emphasise the distinction between guidance (which is what the service provides) and advice (which it does not). Outline the different delivery methods: Website Face-to-face Telephony

Who is the service for? Close to or over 55 or younger in certain circumstances such as a life limiting illness Have a defined contribution pension Most benefit if close to retirement decision Close to or over 55 – when most people can access their DC pensions by law Have a defined contribution pension The service is only for defined contribution pensions as this is what the legislative changes cover The service is of the most benefit if the user is close to making a retirement decision – i.e. within 6 months away – as products are likely to continue changing; hence the age criteria

The guidance session Around 45 minutes Explains new freedoms and options What it means for your circumstances Shopping around, taxes and scams Next steps Summary letter The appointment will last around 45 minutes, and is free, impartial and confidential Won’t give advice, but guidance and information on the new freedoms and options Explains the five main options individuals now have under the new freedoms: Leaving pot and doing nothing Taking a secure income (e.g. annuity) Flexi-access drawdown products Cash lump sum Mixing their options (explain these options as required for audience) Will tailor the guidance to circumstances discussed during the appointment Also explains; the advantages of shopping around and how to do it to get better value products the tax implications for different decisions Information on how to avoid scams and protect selves Set out possible next steps, such as where to go for further information Afterwards you’ll receive a letter with a summary of the pension options and what they mean for your circumstances.

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Questions? For further information, please contact: Stephanie Brown – Pension Wise Guidance Specialist stephanie.brown@darlingtoncab.co.uk 01325 256999 ext 140 www.pensionwise.gov.uk Take any questions. If appropriate, offer details of a representative who can take follow-up enquiries after the session