Pension

[KAZ]

Is it better to pay some of your salary into a pension yourself or to have your employer pay the money directly on your behalf? I don't understand which way is best for tax?

Thanks.

[nfn]

it really does depend on who you work for Kaz. I work for the NHS and I've transferred my personal pension (such as it was) into my new scheme (of 3 years). I will get an index linked final salary pension when I reach 65 (or before if I add more voluntary contributions to boost my 'years contributed' status. This is so complicated that unless you are in a similar position to me whereby an appointed 'bod' can give you an 'honest' answer (we get the downsides too) you really should seek out a financial adviser. I'm only 35 but I'm a single parent and know that although I could really use the 40 odd quid a month I pay in pension, I will need the income more when His Little Lordship is off my hands and enjoying his own family.

[nfn]

Sorry I slightly misready Kaz, if you do not contribute, your final pension will be very low indeed. In fact I pay about #40 a month and my employer pays their bit, but won't get much more than #800 a month at retirement (predicted figures) in 30 YEARS TIME. We all need to think about our retirement, I took out my original personal pension aged 18 and the amount I contributed has added to my final estimated payout.