What happens to my pension when I change jobs?

You have a few options for what you can do with your other pension. You can: 

• Leave it invested where it is 
• Transfer it to your new workplace pension 
• Transfer to another pension
• In some cases, continue paying into it.

What happens to my other pension?

Your other pension doesn't go anywhere. It stays with the existing provider until you start taking money from it, unless you choose to transfer it to another provider.

Does it matter which type of pension I have?

What happens to your pension when you leave a job will depend on the type of pension you have. While you'll keep the pension you've built up, your options and the things you need to consider will be different. 
 
For defined contribution pensions, these are: 

• When you leave your employer, your pension stays invested in your name. 
• You can leave this where it is, transfer it to your new workplace pension, or transfer it to another pension. 
• The value of your pension savings at retirement depends on contributions, tax relief, investment performance and charges.

Will I still pay charges on my other pension?

Workplace pensions typically have ongoing management costs, which will likely continue even when you stop paying into that pension.

Do I get a new pension when I start a new job?

You usually get a new pension when you start a job with a new employer. They’ll automatically enrol you if you’re eligible, which means you will also start paying into this new pension.

If you don’t meet the criteria for automatic enrolment, you have the option to opt in. 

• If you earn between £6,240 and £10,000 a year - your employer must make contributions for you.
• If you earn below £6,240 a year - your employer doesn’t have to make contributions for you, but they might still choose to.

What should I do with my other pension?

What you do with your other pension is a personal decision and there isn't one option that's right for everyone.  

There are three main options, but what you decide to do will depend on what you want from your pension savings.

Your options explained

You usually have a few different options when it comes to your other pension.

Option 1: Leave your pension where it is

This might suit you if: 

• You’re happy with how it’s performing. 
• You’re happy with the service from your provider. 
• The charges and fees are competitive. 
• The investment options meet your needs.

Things to keep in mind: 

• It may be harder to keep track of multiple pensions. 
• Charges may have a greater impact on smaller pension pots over time. 

Option 2: Transfer to your new workplace pension

This might suit you if: 

• Having one pension will make it easier to manage your pension savings. 
• You want fewer pensions to keep track of. 
• You’re able to reduce charges. 
• You like the investment options available 

Things to keep in mind: 

• You could lose valuable features or guarantees. 
• Exit fees could apply. 
• Investments and charges may change. 

Transfer to another pension

This might suit you if: 

• You want more control over investment choices.
• You want to keep this separate from your new workplace pension.
• You’ve found a provider that better meets your needs. 

Things to keep in mind: 

• You could lose valuable features or guarantees. 
• Exit fees could apply. 
• Investments and charges may change.

Things to consider before transferring your pension

Your pension

• What’s the current value of my pension savings?
• What type of pension is this? 
• Do I have any guarantees or benefits?
• Would having my pensions in one place make them easier to manage and keep track of?

Your other provider

• Am I happy with the service they’ve provided? 
• Do I consider the charges good value? 
• Do they offer the investment options I want? 

Your goals

• How much do I need for the retirement I want?
• Is my other pension invested the way I want it invested? 
• Is my pension growing how I thought it would?

Should I transfer my pension?

Transferring your pension could make it easier to manage, but it isn't always the right choice for everyone. It's important to weigh up the potential benefits and drawbacks before making a decision. 

For a more detailed look at the pros and cons read our should I transfer my pension guide.

Next steps

If you’re considering transferring your other workplace pension, here’s what to do next: 

1. Find details of your other workplace pension. 
2. Review any fees, benefits and guarantees that apply. 
3. Compare these with your new pension provider. 
4. Decide if you want to transfer or leave your pension where it is. 
5. Contact the provider you want to transfer to, to start the process. 

You can find out more about the typical transfer process and timescales in our pensions transfer explained guide.

Why do I have more than one pension?

Because workplace pensions are linked to your employer, it's common to start a new pension each time you change jobs. It’s normal to build up several pensions over your working life, with the average UK worker changing job every five years.

How can I find out if I have any other pensions?

If you think you’ve lost track of your other pensions, the government has a free pension tracing service (opens in a new window) which may help you locate these. To get started you’ll need the name of your previous employer or the pension provider if known.

How to protect yourself from pension scams

Changing jobs can be a good time to review your pension savings, but it can also make you a target for pension scammers. 

Look out for these warning signs and be cautious if you’re: 

• Contacted unexpectedly about your pension 
• Offered a free pension review 
• Encouraged to transfer your pension quickly 
• Promised unusually high returns 
• Offered help to access your pension early.