Pensions



TheWanderer said:
As many have said by opting out of your workplace pension you’re basically giving up the employers contribution, which surely can’t be a good thing...there may be limiting factors in getting access to this money which may not allow getting it until certain ages which a private scheme may allow?

My pension is something I’ve never really considered until recently, but there appears to be many options when you’re allowed to access it depending on age. I’d suggest the OP speaks to a financial advisor before making those type of decisions, not a bunch of chancers on here.
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You don't need to speak to an IFA before joining a company pension scheme, waste of time and potentially money, they will just tell you to opt-in unless you have lifetime allowance issues.

Helmerroids said:
Google PensionBee, I don’t know if they’re good or a bunch of shysters but that’s exactly their schtick, consolidation of multiple pensions that build up over a working lifetime.
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You can usually just consolidate them yourself for free by transferring them all into one providing the schemes allow it.

I imagine PensionBee charge for this service?
 
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maygo said:
What’s a sipp and how do I start one?
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If you don't know what a SIPP is I suggest you get some professional advise before exploring it further.

Most IFA's will offer a free consultation to try and get your business. Try 3 or 4 before deciding next steps to take.

I run a SIPP as part of my Ltd Company but also have a few historic company schemes from my days as a salaryman.
 
Helmerroids said:
Google PensionBee, I don’t know if they’re good or a bunch of shysters but that’s exactly their schtick, consolidation of multiple pensions that build up over a working lifetime.
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All he needs to do is register on the various websites of his pension providers. No need for PensionBee or any other pension consolidator.
 
Any employer that contributes into your company pension is something any employee should take advantage of. Most companies have a probationary period before they allow you to join because they are obliged by law to offer you free money. The employer is not allowed to pay you below the minimum wage however. Say the employer puts in 5%, make sure if you put in 30% for example that you are at least 30% above the minimum wage because if you try and beat the system the tax relief takes a hit. Saving tax and national insurance contributions is a 32% saving for the employee which especially if you are approaching retirement beats inflation hands down. Salary 40k pension contributions 27.5k contributions= 0 income tax and very little National insurance.
 
Pop said:
You don't need to speak to an IFA before joining a company pension scheme, waste of time and potentially money, they will just tell you to opt-in unless you have lifetime allowance issues.
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You don’t, but it’s probably best to seek expert advice before opting OUT, like the OP has done.
 
Kent_Mackem said:
If the employer doesn’t give that money over into pension will they add it to salary? Or is it just lost and the employer gains?
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No, he’ll just loose out. Say you pay 5% or your salary into the pension scheme, they might pay 5% in again or more. If he doesn’t pay his 5% in, they don’t either
 
taipeisafc said:
Personally I put in to my employers pension up to the maximum matched contribution level (i.e. I put 5% in and so do they) seems like turning down free money not too even if I have a little less choice in investment options. I do have a bunch of other pensions from previous employments (4 in total none of which are worth much)
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Transfer them to your current pension? When i was made redundant i transferred my pension.
 
Hargreaves Lansdown SIPP. As a contractor there's only me and my Ltd company adding to the pot so it makes sense to sort it all myself. Their fees are a little higher than others but their website is very good and easy to use. I do all my own investments into whatever funds I fancy. Its working pretty well so far, although moving lump sums of dosh around between funds can feel a bit like monopoly money at times and be a bit too much fun. The first time you see your money go down as the stock market falls, that will tell you if its the right choice for you.

Who knows how long the state pension will last, especially if Comrade Corbyn gets in. So anyone not making their own provisions could be facing a bleak future.
 
TheWanderer said:
You don’t, but it’s probably best to seek expert advice before opting OUT, like the OP has done.
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Unless you are a really high earner, are receiving cash in lieu of pension contributions or some rare circumstances you really don't need financial advice when opting in or out of a company pension scheme.

If you opt out you lose the company contributions and the tax relief.
 
Pop said:
Unless you are a really high earner, are receiving cash in lieu of pension contributions or some rare circumstances you really don't need financial advice when opting in or out of a company pension scheme.

If you opt out you lose the company contributions and the tax relief.
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My point is, before making a commitment to opt out, you should seek financial advice, because as you say you lose out from our understanding, and can’t see any benefit of doing such? These long term decisions need some consideration and it’s often better spending a couple of hundred quid to get someone to look at any pros and cons.

The OP appears to be struggling for advice, asking us lot on here will likely end in tears x
 
TheWanderer said:
My point is, before making a commitment to opt out, you should seek financial advice, because as you say you lose out from our understanding, and can’t see any benefit of doing such? These long term decisions need some consideration and it’s often better spending a couple of hundred quid to get someone to look at any pros and cons.

The OP appears to be struggling for advice, asking us lot on here will likely end in tears x
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Ya divvint need financial advice man, by all means take some advice if you are wanting to setup additional funding like SIPP's but joining the company pension scheme is a no brainier, if you opt out you are forfeiting free money and sometimes additional benefits like life insurance.
 
Pop said:
Ya divvint need financial advice man, by all means take some advice if you are wanting to setup additional funding like SIPP's but joining the company pension scheme is a no brainier, if you opt out you are forfeiting free money and sometimes additional benefits like life insurance.
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How many of the daft fuckers that have opted out of Workplace Pensions would turn down a pay rise? If you view pensions as 'deferred pay' that is what they have done.
 
Posh/ODvM said:
Who knows how long the state pension will last, especially if Comrade Corbyn gets in.
So anyone not making their own provisions could be facing a bleak future.
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We were told in the late 1980's by the Thatcher Government, that the state pension would not be enough by the time came for the 20 somethings came to retire.
As I mentioned in an earlier post, I did heed such advice, and am now reaping what I have sown.

As for Jezza, Labour are on the side of pensioners - especially those who are being forced to work longer to receive their old age pensions. For instance those 2.5 million women born in the 1950s have had their state pension age changed by the Tories without fair notification, which is a f***ing disgrace.
 

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