Retirement News

There are many different types of pension schemes in which you can invest. All of them have certain standard elements, but will work in different ways. Types of Pensions Available to you: Defined Contribution v Defined Benefit All pension schemes operate on either a defined contribution or defined benefit basis. Defined contribution schemes are the […]

Tax is a concern before, during, and after pension benefits are paid: that is while investing into a pension scheme, when and while benefits are being taken, and after death. Tax on payments into a pension scheme Payments into a pension scheme receive tax relief at the basic rate of 20%. All payments up to […]

How to choose your annuity Exchanging your pension pot for an annuity is probably the largest financial decision you will ever make, larger even than buying a home. When you are buying a home, there is always the possibility that you will be able to sell it at a later date, and alter your living […]

When asked about plans for retirement, most people will immediately think about pension plan savings. Although there are many other ways of saving toward retirement, including ISA savings and investing, investment bonds, the use of property, etc. there are certain benefits that investing in a pension policy gives that other forms of savings do not. […]

Saving for Retirement All UK citizens are eligible for a state pension at the statutory retirement age. But just listening to pensioners who have only this benefit to rely on in old age makes one realise how inadequate this is for the majority of people. There are various ways to prepare financially for retirement, including […]

Types of company pension There are two types of company pension. The first is the defined contribution, or money purchase scheme, and the second is a defined benefit, or final salary scheme.  (You can read more about the traditional state pension here). A defined contribution scheme works on the principle of what you put in […]

Contracting out of the additional state pension (now called the State Second Pension, S2P, and previously the State Earnings Related Pension, SERPS) became popular after the possibility was introduced to do so in 1988. The Conservative government of the time, seeking to address the problems of future state pension payments, gave employees a way to […]

About Your State Pension The first and most important point to remember about the state pension is that not everyone is entitled to receive it. In order to receive a state pension, you will need to have a record of paying, or being credited with, national insurance (NI) contributions. Providing you have an applicable NI […]