New Pension

Looking to start a new pension plan?

Pension Consolidation Service
ProviderFREE Pension FindingService Features:More Info
yesPensionBee will find all your old pensions and combine them into a single, good-value, online plan. No jargon, no piles of paperwork and no surprise fees. Just a simple online pension that brings together all your retirement savings and puts you in controlMore Info >
New Pension? - Compare Self Invested Pension Provider Options
ProviderSIPP NameSet Up FeeAnnual FeeFeaturesMore Info
FREE£155 pa + VATChoose from over 2,000 funds, shares, ETFs, investment trusts, gilts, bonds and more to create a portfolio tailored to your investment goals.More Info >
FREE0.75% up to £100k and 0.35% beyond (incl of VAT)In a nutshell we learn about you, choose investments for you and then, with your contributions, build and manage your pension portfolio on your behalf.More Info >
FREE£100 + VAT. Platform charge from 0.25%Through the Charles Stanley Direct SIPP you may access a wide range of investments including Equities listed on UK and Overseas Markets, over 1500 Funds (Unit Trusts & OEICs), ETFs & ETC’s, Gilts & Bonds, Investment Trusts & REITs. More Info >
FREE0.45% (max £200)Features; Choose from more than 2,500 funds, shares, investment trusts, gilts, corporate bonds, ETFs and cash. More Info >
FREE0.35%Over 2000 Funds from 75 different Fund Managers.More Info >
FREETiered up to £100The AJ Bell Youinvest SIPP has over 4,000 funds and over 21 markets, investment trusts, tracker funds (ETFs) and stocks and shares to choose from.More Info >
The value of investments and any return from them can fall as well as rise and you may not get back the full amount invested. Please ensure that you read the Important Risk Information below.

Ideas for a new pension 

A Personal Pension?

A personal pension is a tax efficient way of saving for your retirement. When you retire or reach a certain age (55 or older) teh pot of money that you have saved in your personal pension plan becomes available to provide a taxable income until you die. The advantage of pensions saving in this way over otehr saving is that you get tax relief on the contributions you make into your pension plan. The amount of tax relief will depend on your tax status and prevailing tax rules. The amount of income you can take from your personal pension when you retire will depend on a number of factors including the value of your pension pot when you retire.

 

What is the difference between a Personal Pension and a Stakeholder Pension?

Personal pension plans tend to have higher minimum contribution levels e.g. £100 pm, as well as higher charges. Personal pensions will generally have more flexibility when it comes to what you can invest in while stakeholder pensions are low cost but have less investment choices.

 

How does tax relief work with contributions made into a Personal Pension Plan?

If you are a basic rate tax payer a payment of £80 per month will be topped up by HMRC with an additional payment of £20 (basic rate tax relief). this means that £100 is invested every month into your pension pot. For higher rate tax payers through the self assessment tax return you can claim back an additional 20% i.e. in this example £20. For those earning over £150,000 an additional rate of tax can be reclaimed.

 

What benefits are available from a Personal Pension when I retire?

Benefits from a personal pension can be taken any time from age 55 onwards. From the pot of money that you have saved a tax free sum of 25% can normally be taken. The balance of money will be used to by a compulsory purchase annuity. Annuity rates depend on prevailing gilt yields but will also be determined by age, your gender and the type of annuity you take out.

In setting up a new personal pension you should look for the following features:


  • Low charges - many so called  stakeholder pension plans have no set up charges and no penalties for transferring in or out
  • Some providers now provide online access so you can manage your pension at your discretion.
  • Ability to switch investment funds
  • Flexibility to stop and start contributions as & when circumstances dictate.

 

The amount you can expect from your personal pension fund on retirement will depend on a number of factors including the amount you pay in & the performance of the investment funds.