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What happens to pensions when someone dies

When someone dies, their pensions need attention — but almost none of it is urgent in the first days. This page explains, plainly, what stops, what may pass to family, and who to contact, so you can do it in the right order when you're ready.

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Take it one step at a time.

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The State Pension stops on the date of death

The State Pension is paid up to the date of death, then stops. Because it is usually paid in arrears (after the period it covers), the final payment can leave a small overpayment if it arrives after the death — the Pension Service works this out, you don't have to. If you used Tell Us Once when registering the death, DWP is notified automatically. If not, contact the Pension Service to report it. A married or civil partner may, in some cases, be able to inherit part of the deceased's State Pension or get a higher amount — the Pension Service can tell you whether that applies.

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Workplace and private pensions often follow a nomination, not the will

This surprises many people: most workplace and personal pensions are paid out under a nomination form (also called an 'expression of wish'), not under the will. The pension scheme's trustees decide who receives any death benefit, guided by the nomination the person made. So a pension can pass to someone who isn't named in the will at all. Contact each pension provider — they'll send a claim form and tell you what they need (usually a death certificate copy and proof of ID for the beneficiary).

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Find every pension before you start claiming

People often have more pensions than their family realises — old workplace schemes from past jobs, a personal pension, sometimes an annuity. Look through paperwork, bank statements (for pension payments in or contributions out), and emails. If a workplace pension is missing, the free government Pension Tracing Service can help you find the provider. Gathering the full picture first means you only contact each provider once.

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Ask about the type of pension — it changes what's left

What family may receive depends on the kind of pension. A 'defined contribution' pot (a savings pot) can often be paid as a lump sum or kept invested for a beneficiary. A 'defined benefit' or final-salary pension may pay a reduced pension to a spouse, civil partner, or dependent child instead of a lump sum. An annuity may stop on death, or continue to a partner if a 'joint' or 'guaranteed' option was chosen. Ask each provider exactly which type it is and what the options are — don't assume.

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Mind the 2-year window for some lump-sum death benefits

For defined contribution pots, scheme trustees usually need to pay out any lump-sum death benefit within two years of being told about the death. Paying out later can change the tax treatment. This is rarely a reason to rush in the first weeks — but it's why it's worth notifying providers within the first few months rather than leaving it open-ended. The provider will guide the timing once they know.

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Know the tax position before money moves

Whether a pension death benefit is taxed depends on the type of pension, the age the person was when they died, and the rules at the time. From 6 April 2027, most unused pension pots are also expected to count towards the estate for Inheritance Tax — a change worth being aware of if a death falls near or after that date. The provider and, if needed, a tax adviser can confirm the position. Treat any figures here as general information, not tax advice.

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A short checklist for this step.

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Checklist · 8 steps

Report the death to the Pension Service (or rely on Tell Us Once if you used it)
List every pension: workplace, personal, and any annuity — use the Pension Tracing Service for missing ones
Contact each pension provider and ask for the claim form
Ask each provider which type of pension it is and what the death-benefit options are
Check whether a nomination / 'expression of wish' is on file — it usually decides who's paid
Have the beneficiary's ID and a death certificate copy ready for claims
Don't ignore the 2-year window on lump-sum death benefits — notify within the first few months
Keep a note of each provider, claim reference, and date you contacted them

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Answered, plainly.

No. The State Pension is paid up to the date of death and then stops. Because it's paid in arrears, a final payment arriving afterwards can create a small overpayment, which the Pension Service sorts out. If you used Tell Us Once, DWP is told automatically.

Usually not. Most workplace and personal pensions are paid under a nomination form completed by the person, and the scheme trustees decide who receives the death benefit. This means a pension can go to someone who isn't named in the will. Contact each provider to start a claim.

For defined contribution pension pots, scheme trustees generally need to pay out a lump-sum death benefit within two years of being notified of the death. Paying out later can change the tax treatment, which is why it's worth telling providers within the first few months.

Check paperwork, bank statements for pension payments, and emails first. For lost workplace or personal pensions, the free government Pension Tracing Service can find the provider's current contact details so you can ask whether a pension exists.

It depends on the type of pension, the age the person was when they died, and the rules at the time. From 6 April 2027, most unused pension pots are also expected to count towards the estate for Inheritance Tax. The provider can confirm the position; for anything complex, a tax adviser can help. This is general information, not tax advice.

Providers usually ask for a copy of the death certificate and proof of identity for the person receiving the benefit. Each scheme has its own claim form — contact them and they'll tell you exactly what they need.

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Related next steps

↑ OverviewWhat to do when someone dies →→ StepTell Us Once: notify government in one step →→ StepTelling the banks →→ StepApplying for probate →↓ ToolProbate timeline tool →↓ HelpGet help with the forms →↓ HelpNotification Map — who to tell, and in what order →

When you're ready

If you're the executor and the bank, probate and pension calls are piling up, this walks you through who to contact and in what order — so you arrive prepared, not chasing paperwork.

Executor's First Hour

Informational, not legal or financial advice. This guide covers England and Wales; Scotland and Northern Ireland differ. Always confirm current rules and figures at GOV.UK before acting.