Staffordshire based Need An Adviser.com is urging people to take action now and review their pensions in light of the new Pension Simplification laws that come into force in April 2006.

Pension Laws have been simplified by the Government meaning that all those complex calculations on what you can pay into your pension and what you get back at retirement are supposed to vanish.

In just over 15 months time, you will be able to pay in up to £215,000 per year with an overall lifetime limit starting at £1.5m. In addition, the new rules allow for 25% of your pension fund to be taken out at retirement as a tax-free lump sum, regardless of the type of pension you have.

Ashley Clark, Director at Need An Adviser.com disagrees with the rules being simple: "At first glance, these rules are very simple, however, for many, if they do not review their pension before the rules come into place, they may be in a worsened position".

He highlighted key people that need to review their pensions as a matter of urgency: 1. Large Pension Funds: People with large pension funds in excess of £1.6m need to protect their benefits now.

2. Small Pension Funds: People with total pension funds below £16,000 who are due to retire before April 2006 may be able to take the whole amount as a tax free lump sum after 2006 rather than have to buy a taxable annuity income today.

3. Business Owners: Many business owners are not aware that their pension fund can buy commercial property for them and even take out a mortgage if there is not enough money in the fund to buy premises. Having your pension fund as your landlord and paying rent to yourself rather than to others is a fantastic benefit. The amount that a pension fund can borrow on mortgage reduces dramatically after April 2006.

4. Large Tax Free Cash Sums: Many people are entitled to tax-free cash sums greater than 25% of the fund value already. These need to be protected.

5. No Cash Pensions: Many people have pension funds that are not allowed to pay out a tax-free sum at retirement such as Free Standing Additional Voluntary Contribution schemes (FSAVC). If you are due to retire soon you may be better off waiting and reviewing your scheme as you may be able to receive a tax free lump sum after 2006, that you cannot today.

6. Retiring Early: Currently many of us can retire from age 50. The earliest retirement dates are set to increase to age 55. If you do plan to retire before age 55 you will have to do so by 2010. You need to plan now.

Mr Clark added: "There will be many winners with the new rules but equally, there are many that may lose with no action. I urge everyone to take greater care of their pensions this year, much as they do with their car i.e. get a "Pension MOT". To help, Need An Adviser.com has launched a new "Pension Simplification Centre" on its websites as well as offering a fact sheet guide for free called "Your Pension MOT". You can obtain a copy of "Your Pension MOT" by calling 0870 950 7788 or by visiting www.needanadviser.com.