- Pensions – all in one pot?
I assume you’re talking about defined contribution pots from old jobs?
I tidied mine up a couple of years back, you need to find out what the fees are on the older pot and compare those to your current one. I haven’t moved my pot to my most recent company because my old scheme had a significantly lower fees. It doesn’t make a huge difference year to year but can add up over time.
You really need to give your old pension povider a call and check if they do transfers and what the value would be, then check with your new pension provider.Posted 1 month agopetecMember
i moved all mine together about 6 months ago; the firm changed ours, and started allowing us to do it. The fees went down a lot, and were a lot cheaper than the old pot. So why not – no guarantees on the old one. And it’s a lot easier to look after
Course, my dad went around muttering ‘equitable life’ and ‘all eggs in one basket’ etc
Who knows? No one can really predict (or protect!) the future. The pension limit may come down, or apply to an individual pot only, etcPosted 1 month agotowzerMember
FYI re eggs basket, https://www.fscs.org.uk/what-we-cover/pensions/
I read that as sipp protection being limited to 85 per company. (Suggest more research/advice tho)
As above check charges (also check if exit or transfer charges) , but also check past average annual returns for the funds, if the old one does better…….Posted 1 month agotomdSubscriber
As above check charges (also check if exit or transfer charges) , but also check past average annual returns for the funds, if the old one does better…….
Transfer charges is a good point. The returns is an odd one though – that only really applies if you’re very actively managing your fund. If you’re just using the default settings with passive funds then it’s just a function of the market performance and the fees. If you want to actively pick funds then some schemes have more options than others, but that’s only really going to be an issue if your in the tiny majority of people that want that sort of control.Posted 1 month agoboomerlivesSubscriber
Catches and caveats aside, you would be better with all pots being in the best possible places.
I moved one of mine a couple of years ago because despite middling performance, the fees were ridiculously high.
It wasn’t hard to find a company doing better in growth, with fees of less than 1/3 of what I was paying.
But I do find comfort in spreading the load across a few different outfits.Posted 1 month agotthewSubscriber
I’ve refused a few work schemes as my Stakeholder pension has out performed them all, and has 1% fee.
It’d have to significantly outperform a workplace one to make up for the loss in company contributions surely?
Anyway, I’ve got separate pots, will give me options for different draw down or annuity combinations even at different ages when in a bit older.Posted 1 month ago
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