Pensions

[bad11thebone]

Probably not the correct place to put this thread but couldnt find any other category to put this in.

As I am not entitled to a company pension I feel its about time I got myself sorted for when I retire. I need to start up a pension plan for myself but have no idea as too what is the best company to go for, does anybody have any ideas as to who to try? Im coming up to 27 and think its best get this sorted now because the way this country is going i would have to be nearly dead before I can afford a proper retirement. Thanks

[january_bug]

Hey,

I think it's fab that you're thinking about it... however, might I suggest you request to the Editor that your question gets moved to "Money and Finance".  I just think that there are some very knowledgeable people over there, who might not necessarily visit this section, and you might miss out on some valuable advice. 

I'm not meaning to question your logic... and anyway, if five years down the line I've got your amount of sense and start to sort my pension, I'll be pleased that I'm such a sensible girl.  That said, I want to be a pensions lawyer, so I'm unlikely to forget!

Anyway, sorry that this isn't an answer, but I hope what I said helps you to get a good reply.  Happy saving.. and happy retirement in...hmmm....60 years shall we say!?! :-)

[byblos]

Its a minefield out there, so your best option would  be to seek independant financial advice. 

If you don't know any Independant Financial Advisers in your area bthere is a number you can call to get details of your local IFA's.  Can't remember the number but I think their name is Independant Financial Adviser Promotions. Alternatively try the Financial Services Authority website.

You may not have to pay a fee.  I work for a company who do not charge a fee but they take commission instead.  When you start a pension, the pension provider will pay the Adviser commission.  This commission is paid for by the charges that they apply to their pension plans.  These charges affect the value of your plan, so ultimely it is paid by YOU, the policy holder.  However, it is interesting to note that the same level of charges would still be applied even if you contacted the provider direct and received no advice.  So you might as well get some advice if your going to be paying the charges anyway.  Also, its always worth asking the adviser if he will give up some of his commission to enhance your investment.  Most advisers will be happy to do this... because its better to get some commission than none at all. 

Finally, make sure the adviser gives you 3 different companies to choose from and get him/her to explain the reasons for the selection.  Also make sure the adviser provides you with quotations/illustrations from each company.  Then you can check to see if the adviser is commission driven as the amount of commission will be shown on the illustrations.

Hope this helps - Good Luck.