AFAR2 Mock Paper 2 — Decumulation in Practice
A standard AFAR2 mock applying PCLS/UFPLS calculations, annuity feature selection, death benefit planning and April 2027 IHT awareness. Case studies on a couple securing joint income and a client with health issues.
- Questions
- 30
- Minutes
- 45
- Pass (70%)
- 21/30
Sit it timed
The timer starts when you press the button. You can still finish after it runs out — it is there to mimic exam pressure, not to lock you out.
Free preview: the first 5 of 30 questions, with a timer to match. Unlock the full paper
Answer options are shuffled on every attempt. Your progress is saved as you go, so a refresh won't lose it.
About AFAR2 Mock Paper 2
This is mock paper 2 of 3 for AFAR2, the Retirement planning — Unit 2 unit of CeMAP. The 3 papers in this unit run easier → harder so you can build up to exam standard rather than being thrown in at the deep end. This one sits in the standard tier: it is pitched at roughly live-exam difficulty, with distractors that are all plausible until you read them properly.
Every question carries a written explanation, so a wrong answer tells you which rule you have misread instead of just costing you a mark. Questions are original, written against the 2025/26 five-unit CeMAP syllabus, and cover the material the way the examiner tests it — precise recall where recall is tested, and judgement where the paper wants judgement.
Format, timing and pass mark
AFAR2 Mock Paper 2 follows the live AFAR2 format: 20 standalone questions + 2 case studies × 5 linked questions, in 45 minutes — about 90 seconds a question. Pass mark 21/30 (70%), as in the real assessment. There is no negative marking, so answer everything. 2 case studies carry linked questions: read each scenario once, carefully, before answering any part of it.
What this paper tests
The 30 questions in AFAR2 Mock Paper 2 break down across 8 topic areas:
- Annuity features6 questions
- Death benefits4 questions
- Enhanced annuity4 questions
- PCLS4 questions
- Suitability4 questions
- Annuity vs drawdown3 questions
- IHT from April 20273 questions
- UFPLS2 questions
Try two questions from AFAR2 Mock Paper 2
These come from the free preview of this paper. Answer them, then reveal the explanation.
PCLS
Brian crystallises his full £300,000 pot, takes PCLS and moves the remainder to drawdown. PCLS is:
- A£60,000
- B£268,275
- C£75,000
- D£300,000
Reveal the answer
C is correct. 25% × £300,000 = £75,000 tax-free PCLS. £225,000 enters drawdown.
UFPLS
Carol takes a £8,000 UFPLS without crystallising. Tax-free portion is:
- A£8,000
- B£6,000
- C£2,000
- D£0
Reveal the answer
C is correct. 25% tax-free: £2,000. Taxable: £6,000. UFPLS triggers MPAA.
Scored under 70%? Revise these next
A near miss is almost always a calculation you cannot do under time pressure, a definition you half-know, or a rule you have never read in the examiner's words. Start with the topic areas above where you dropped marks, then:
- →Drill the calculations on the CeMAP formula sheet — LTV, income multiples, SDLT, APRC, ERCs and rental cover, each worked through.
- →Nail the terminology in the CeMAP glossary — a surprising share of wrong answers are a term you nearly knew.
- →Re-read the syllabus coverage on the AFAR2 exam guide, then sit the next paper in the ramp.
The other AFAR2 mock papers
3 timed mocks for this unit, running easier → harder. Sitting the whole ramp is what moves a borderline score to a comfortable pass.