A workplace pension is a way of saving for your retirement that’s arranged by your employer.
Some workplace pensions are called ‘occupational’, ‘works’, ‘company’ or ‘work-based’ pensions. It is often in the employees best interests to join such a scheme.
Occupational Pensions Advice
Occupational Pension Schemes are regulated by the Pensions Regulator, and have trustees who are responsible for the fair, legal and proper running of them. There are various types of company and occupational pension schemes and we can help you understand the differences and identify which one is appropriate for you.
i. The value of pensions and investments can fall as well as rise. You may get back less than you invested.
ii. Inheritance Tax Planning is not regulated by the Financial Conduct Authority.
iii. Transferring out of a Final salary scheme is unlikely to be the best interests of most people.
Final Salary Pension Schemes
Final salary schemes are a type of defined benefit pension scheme that are offered by employers. The benefits you receive at retirement are based on your earnings and your length of membership in the scheme. Many final salary schemes have either been closed to new members or to all members over recent years, although they are still offered by some, mainly larger, employers
Defined Contribution Pension Schemes
With a defined contribution pension you build up a pot of money that you can then use to provide an income in retirement. Unlike defined benefit schemes, which promise a specific income, the income you might get from a defined contribution scheme depends on factors including the amount you pay in, the fund’s investment performance and the choices you make at retirement.
For example, you could choose to take part of the fund as a lump sum upon retirement, which is tax free. For smaller funds, you are entitled to take the entire amount but only 25% is tax free. There is the option also that this may be used to purchase and annuity which can provide further financial support in retirement.
Pensions for Self-employed, Partnerships, Directors and Executives
There are a wide number of pension options available also if you are not employed and we can help you decide which option offers the right rewards for you.