Retire with a Tax Free Pension. Take
out income tax free using
your Pension ISA

Tax free pension

For some people an Individual Savings Account (ISA) is a viable alternative to a pension. In fact, if you start early enough, you can end up with an unlimited tax free pension pot using an ISA.

With an ISA you can withdraw the interest from your Cash-only ISA or draw cash realised from dividends or by selling shares held in a stock and shares ISA at any time without penalty and tax free.

Interest and dividends received in an ISA, even if withdrawn, do not add to your annual income for tax purposes. They remain tax free.

This is why an ISA is so advantageous for the early retirement investor who has reached the stage of drawing dividends to live on instead of reinvesting them.

Click Here for more on ISA benefits

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