Pension spike age 75 / Lifetime Allowance tax charge. **AdviserGo, UK**

Q. The Cash Flow shows a large 'spike' at client's age 75 - why is this?

A.  The spike represents the final LTA test (BCE5A) at age 75, and is shown as an increase in the expense line to represent the tax being paid via a withdrawal from the pension funds.

Voyant will project forward the value of any un-crystallised benefits, and the growth on benefits deposited to pension drawdown, to test whether the LTA will be breached at age 75.

The escalation of LTA since 2018 has been in line with your CPI assumption (which is available in the plan settings).  For client plans created prior to 2018, a separate default setting was available for the escalation of LTA. For more information on this contact support at

Note that one can also see the LTA tax charge represented (in the Let's See screen) by selecting the 'Taxes' chart, and selecting the "Details" option. As such, of course, one can use this chart to show the benefit of an advice strategy you may be recommending, to eliminate or reduce the tax charge.