How many of you have standard pensions?

DJMK4 · 27 Mar 2009 at 12:40

After I clear my debt, which should be in december this year, I need to start thinking about making regular contributions again to my savings, and also putting some money away in another "ISA" for pension purposes or would this be a bad idea? would it be better to get a "proper" pension scheme up and running?

I feel I have left it too late, I am 25 in a few months and havnt got a pension as Im in debt which im trying to clear, is this stupid?

Zefan · 27 Mar 2009 at 12:43

Does your employer not run some sort of scheme?

beachBOYken · 27 Mar 2009 at 12:43

im 24 and have had a pension for about 6 years , even at 25 you should still start a pension , might be a better idea to clear any debt first?

DJMK4 · 27 Mar 2009 at 12:45

Zefan said:
Does your employer not run some sort of scheme?

Not at the moment, they are looking into one now but that's all I have heard, but then I was told by someone else that its easier just putting it into an ISA.

beachBOYken · 27 Mar 2009 at 12:46

ISA interest rates are rubbish at the moment , i think natwest have one of the best rates at this time

DJMK4 · 27 Mar 2009 at 12:47

If they don't run a pension scheme at work at the moment, what are the best options?

Zefan · 27 Mar 2009 at 12:47

Well the idea of getting a pension with your employer is that they contribute to it, I imagine it'd be much more than the interest you'd get on an ISA.

:Edit: Not a clue, sorry

colinuk · 27 Mar 2009 at 12:48

As a finacial advisor told me, if your not under 25, dont bother. Told me to hide the money in a shoe box and dont tell the goverment or anyone, then claim state pension.

I was 37 when i looked into pensions, so a little late for me, so know i spend it

having a great time lol..

ColiN

beachBOYken · 27 Mar 2009 at 12:51

this is a good site-

http://www.moneysavingexpert.com

Andr3w · 27 Mar 2009 at 12:53

Zefan said:
Does your employer not run some sort of scheme?

You might want to start a private pension buddy, ours is ****

DJMK4 · 27 Mar 2009 at 12:56

but surely if my place of work "at the moment" doesnt have a scheme, what am I to do? Just put it away in an ISA? If I do this, and down the line I do open up a scheme, could I transfer the moneh in the ISA into my pension fund?

DJMK4 · 27 Mar 2009 at 12:56

Andr3w said:
You might want to start a private pension buddy, ours is ****

Any reccomendations? If I do it this way, would I recieve any contributions, or just simply get (what I put in every month?)

Fireskull · 27 Mar 2009 at 12:58

Ours is quite good from what I remember, have had mine setup when I was 20

a1ex2001 · 27 Mar 2009 at 13:27

colinuk said:
As a finacial advisor told me, if your not under 25, dont bother. Told me to hide the money in a shoe box and dont tell the goverment or anyone, then claim state pension.

I was 37 when i looked into pensions, so a little late for me, so know i spend it having a great time lol..

ColiN

Either you or your financial adviser is a liar. That is possibly the worst advice I've ever heard and having no plan for income in retirment is madness.

Ukadder · 27 Mar 2009 at 13:53

We have a private pension which the company setup for us and pay into but it's in our name rather than being linked to the company in anyway.

Been paying into it for about 3 years now (I'm 27) the company will match up to 4% of our wage as long as we also contribute the same amount so at the moment I've been putting in 4% as well thou that should really be upped to about 8-10% if I'm to get a decent pension at the end of it.

I thought it was Law that a company had to provide you a pension scheme even if they didn't actually contribute to it? maybe totally wrong!

Sash · 27 Mar 2009 at 13:56

ISAs are definitely not the best way to save for pensions.

If you get a pension, the government will pay 20% tax relief into it (if you are a basic rate tax payer).

Which means, to pay £100 a month into your pension you only need to pay £80 and the government will pay the rest.

Try to get as many pensions as early as possible, the government gives you the tax relief to encourage this. The state pension is not enough for any person to live on.

DominicStar · 27 Mar 2009 at 14:03

Ukadder said:
I thought it was Law that a company had to provide you a pension scheme even if they didn't actually contribute to it? maybe totally wrong!

From 2011-2012 compulsory schemes will be phased in and you will be enrolled automatically unless you opt out.

I thought these stakeholder pensions were meant to be available through all employers of 5+ staff but they are kept well hidden it seems.

Heliospherez · 27 Mar 2009 at 14:11

I have been paying into my ISA for 7 years and a Pension (controlled by Financial know-it-alls) for the last 10 years.

My pension (Controlled by the Finance Guys) lost £11,000 in the last 12 months - which cancalled all gains
My ISA (Controlled by me) has made £245 in the last 12 months - and about £2500 since starting.

So much for the guys that are supposed to know about money.

And unfortunately - ISA's really aren't the way to go anymore - as the Gov/banks have basically destroyed the point of them.

stoofa · 27 Mar 2009 at 14:11

I started my pension when I was 18.
It's a personal one so I've taken it from company to company.
Currently my employer matches my contribution £to£ - so I'm paying around £120 and they match it.

Because I started mine so long ago and its got plenty of time to run this "glitch" or "credit crunch" as others call it should effect the fund too badly.

DJMK4 · 27 Mar 2009 at 14:12

This is all good advice, but the thing that is stopping me doing this, is the fact that is currently no pension scheme available by my employer at this time. Therefore if possible could you reccomend a private pension scheme for me? would I still get contributions from the government into this? what about employer?