BE SIMPLY SMART WHEN GETTING PENSION ADVICE

When looking at your finances, a pension is something that needs to be in place to help you be simply smart with your money for the future.

A pension is a way of saving for retirement which can provide generous tax benefits. The money you save in a pension builds up into a fund which is invested; and when you elect to take your benefit, the fund is used to pay a regular taxable income for life. You could also choose a lump sum payment or a reduced pension if you wish.

A pension is designed to help you fund your retirement and replace the income that you are no longer receiving from working. It can fit alongside all your other savings, from bank and building society accounts to property.

You could think of pensions as the first of three important ways to support your retirement. The second may be your home (some people talk about their property as their pension) and the third, all your other savings and investments such as deposit accounts and shares. Your retirement income may come from any combination of the three.

Annuities

An annuity may need to be bought if you have being paying into a pensions fund; this involves paying a sum from your pension fund to an annuity provider who will then convert this to an income.

If you have been paying into a pension fund you will have built up a pool of money. To access your money during your retirement to use your pension fund for an income you will be required to purchases an annuity to do this.

Income Drawdown

An income drawdown is used if you do not want to buy an annuity as soon as you retire.

When you retire you may want to buy an annuity but prefer to keep your money invested in your pension fund; to be able to have the opportunity to receive money from your pension then an Income Drawdown could be the option for you.

Personal Pension

A  personal pension is a route where it allows people to save as tax efficiently as possibly for your retirement

A personal pension is your own fund which can be taken from workplace to job which you can use to fund your retirement a self employed person can also have a personal pension

Stakeholder Pension

A stakeholder pension is a simple relatively low cost vehicle to assist in saving towards retirement.

To be able to go down the stakeholder pension route there are minimum standards which have to be meet; if meet them you can stop, start and reduce your payments at any particular time.

Self Invested Personal Pension

A Self Invested Personal Pension (SIPP) is a government approved plan which allows people to use investments backed by the HMRC.

A SIPP allows the holder of the plan greater control and freedom in what to invest in and for the plan to hold these investments directly.  They themselves can have direct control over the investment strategy or they can appoint a fund manager or stockbroker to manage the investments on their behalf.

It is always advisable to look very carefully at your budget before making financial agreement decisions.

Should you be considering looking at making provisions for a pension now or in the future. Please allow us to see if we can assist you, provide us with some simple details by just filling out the form above when at which point a Squashed Bills representative will be in touch to discuss your requirements further in the strictest of confidence.

• Dr Squash Pension Quotes :

              retirement age is a state of mind – if its in a state, retirement will be later rather than sooner 

              you work to contribute – knowing that at some point you’ll call it a day