The days where we were guaranteed to get a sufficient pension are fading, whatever your occupation. There is a big strain on state benefits and employer pension schemes.
It is increasingly becoming more important for individuals to take responsibility for their retirement income. However it is a very complex area which is hard to understand as pension legislation constantly changes. It is essential to know the relationship between risk and reward and where you are positioned yourself.
The type of pension advice that you will require will depend on what stage of life you are at.
Thinking about starting a pension
When starting a pension it is essential that you receive advice to ensure that you have the right strategy in place so that you have a realistic chance of getting the income you will require in retirement. You may be more adventurous in your investment outlook as you have many years until retirement.
Already have a pension or pensions
With pensions it is essential that they are reviewed at least annually. It is after all your retirement income. Pensions are invested in the markets so it is essential that your pension is invested in the right place, just because it was in the right investments when it started doesn’t mean it still is. Pensions have changed a lot over the years, to get the most out of your pension it is essential to make sure your pension is working for you through regularly reviews.
Children growing up
As your income grows you may want to increase the amounts that you put into a pension to ensure that you have sufficient income into retirement. This can be done through increasing your premiums or through adding lump sums. Depending on what tax bracket you are in will alter the pension strategy and advice. As the pension pot grows there are more options available to you and how you can use the accumulated wealth to your benefit. We will be able to guide you and create a strategy to ensure that you use your pension fund to its full capabilities.
Thinking about retiring
There are many ways in which you can convert your pension fund into income. You may also have the ability to withdraw a tax free lump sum. How you structure your retirement income will depend on your circumstances and retirement objectives. You may want to reduce the risk that you take with your pension and your objectives may be more aligned with generating a steady income. It is imperative that you receive professional advice to ensure you get the most out of the pension fund that you have accumulated over the years.