For pensions advice and to plan for your retirement, get a free and no obligation telephone consultation with the highest rated Pension Advisor near you.
The government advises that an Independent Financial Advisor (IFA) should always be your first port of call to obtain free, impartial advice on your pension and retirement planning options. Pension planning can be a daunting area for many people which is why the Financial Advisor Bureau will put you in touch with only the highest rated IFA in your area.
They have achieved the highest consumer and industry ratings for the integrity and quality of their service and will provide free, impartial and no obligation advice so you can make informed judgments on your pension options.
An IFA can give you impartial pension advice on a range of issues including the following:
Personal Pension Plans (PPP)
Personal pension plans (PPP) are defined contribution arrangements meaning that you build up a pot of money that will provide you with retirement benefits. The value of the pension is accumulated through investment contributions paid by both the employer and the employee.
They are investment policies that will provide income in retirement and available to any UK resident.
You will contribute to your pension plan to build up the fund and the amount of pension payable when you retire will depend on factors such as:
- The amount of money you have paid into the scheme
- How well the investment funds perform
- The ‘annuity rate’ at the date of retirement. An annuity rate is the factor used to convert the pot of money into a pension.
Upon retirement, you will usually be able to take 25% of the value of the fund as a tax-free amount with the remainder to be used to buy an annuity which will provide you with a regular annual amount for the rest of your life.
Group Personal Pension (GPP) Plans
Group personal pension (GPP) plans are a collection of PPPs provided by the employer for its employees.
It has the same characteristics as PPPs with the distinguishing feature that the charges levied by the provider may be lower given that they usually provide a reduction in their fees as they are dealing with bulk plans.
An annuity is your ability to turn your pension into regular income for you and your loved ones for the rest of your life.
You are not obliged to purchase your annuity with your existing pension provider. There are many factors to consider such as whether to have your annuity index linked or whether to have it revert to your spouse in the event of your death.
Self-Invested Personal Pension (SIPP) Plans
Self-invested personal pension (SIPP) plans will allow the policy holder greater flexibility in the investment plans of their pension. The plan holder can have control over investment strategy and have the ability to appoint a stockbroker or fund manager.
Income Drawdown Plans
Income drawdown which is also known as an ‘unsecured pension’ allows you to take income from your pension fund while the fund remains invested and continues to benefit from any fund growth. You generally need a substantial fund value to take income drawdown. The amount of fund varies according the rules of the pension provider, but is around £100,000.
There are rules about the maximum income that can be drawn and dependent on factors such as your age. An IFA is best positioned to give you independent advice as to your options.
Whether you’re looking to start a pension or require advice on the best way to make your existing pension set you up for your retirement, an IFA can help you with the myriad of factors to consider and obtain the best possible deals for you.
All the IFAs recommended by us are authorised and regulated by the Financial Conduct Authority (FCA) which means that they are qualified to give unbiased, independent and professional advice. They will be the highest rated advisors in your area dealing with pension advice and will give you a free telephone consultation and advice on the whole market. For instance, you may wish to obtain free advice about the following:
- Given my circumstances, is a pension really necessary?
- What kind of pension could I pay into?
- What are the tax advantages of a pension?
- Can I consolidate my pensions into one?
- When and how can I draw income from my pension?
- What are the implications of my pension on my spouse?
- What happens to my pension if I divorce?
- Can I get access to part of my pension now?
- What should I consider when taking an annuity?
An IFA can answer these and all your queries about your retirement plans to help you get the best deals.