Pensions
What is a sustainable pension withdrawal rate?
Links marked * are commercial or go to our partner sites, which share our operator. Third-party companies may pay us commission. How we make money.
In short: The percentage of your drawdown pot you can take each year without likely running out — often discussed as 3%–4% as a starting point, adjusted for charges, State Pension, tax and market returns.
Content updated:
The US 4% rule is a guide, not a UK guarantee. Sequence-of-returns risk matters.
Use our pension drawdown calculator and drawdown income guide to model your situation.
Combining annuity income for essentials reduces drawdown pressure.
Part of our Pensions & retirement
This quick answer sits inside our wider pensions & retirement hub — with sub-guides, calculators and step-by-step explainers on the same topic.
Read the full pensions & retirement guide →