Retirement Benefits and Allowances
As well as your State Pension, you may be entitled to other benefits and allowances in retirement.
What benefits could you be entitled to?
Below, you’ll find information about the different types of benefits you may be entitled to. These can be split into two categories:
- Means-tested benefits – these are benefits you can apply for if your income, including any savings and investments, is below a certain level.
- Other benefits – these are benefits that you may be entitled for, which are not means-tested.
How does equity release affect my benefits?
If you’re thinking of releasing equity from your home, bear in mind that this will increase your wealth and could, therefore, impact your entitlement to means-tested benefits.
Pension credit
If you qualify for Pension Credit the government will increase your income. If you’re in a couple you’ll only be eligible to start getting Pension Credit if either:
- you and your partner have both reached State Pension age
- one of you is getting Housing Benefit for people over State Pension age.
You can check whether you're entitled to Pension Credit, using the pension credit calculator.
What’s more, if you receive Pension Credit you may qualify for the Cold Weather Payment. This is payable for each week that the weather is exceptionally cold between 1 November and 31 March.
Housing Benefit
You may be able to apply for help to pay your rent if you’re on a low income or claiming benefits. Housing Benefit is being replaced by Universal Credit, but you can still apply if you and your partner have reached State Pension Age.
If you’re in a couple you’ll only be eligible to start getting Housing Benefit if either:
- you and your partner have both reached State Pension age
- one of you has reached State Pension age and started claiming Pension Credit, for you as a couple, before 15 May 2019.
Council Tax Support
If you’re on a low income or receiving certain benefits you could receive a discount on your Council Tax.
You can apply for support whether you rent or own your home. How much help you’ll get depends on variety of factors. If you are uncertain whether you're entitled to a discount on your Council Tax.
Health Benefits
If you’re on a low income you may be eligible for health benefits.
These include free dental treatment, vouchers for glasses or contact lenses and hospital travel costs. You can find more about these benefits:
Disability benefits
There are two disability benefits available which can help you with some of the extra costs if you have long-term ill-health or disability. The Personal Independence Payment (PIP) is payable if you haven’t reached State Pension age. If you’ve reached State Pension age, you can apply for Attendance Allowance. How much you’ll receive depends on your needs. Find out more:
Health Benefits
Once you turn 60 you’re entitled to free prescriptions and eyesight tests. If you're over 65, you can also qualify for a free flu jab each year.
Find more information on exactly what you’re entitled to.
Winter Fuel Payment
This helps towards the extra costs of heating your home in cold weather. How much you’ll receive depends on your circumstances. The benefit is between £100 and £300. To qualify in 2020/21 you must have been born before 5 October 1954. See how much you could get.
Free bus travel
In England, the age at which you qualify for a bus pass is linked to the State Pension Age, except in London. In London, you qualify for free travel when you turn 60. The age at which you can qualify for free travel is also 60 for Scotland, Wales and Northern Ireland.
Next steps
Want to know a little more about tax in retirement? Read about:
