You should take out a pension to ensure you have enough money for your latter years. The current state pension is designed to cover the basic necessities of life only and will represent a significant decrease on your pre-retirement income.  A pension is designed to increase this income so that you can enjoy your retirement without financial worries.

The earlier you start your pension the more it is likely to be worth when you retire. The later you start your pension, the higher the contributions you will have to make. It makes financial sense to make moderate contributions early rather than much higher contributions later which may impact your lifestyle leaving you with less disposable income.

You are entitled to tax relief on your pension contributions and your fund will also grow tax free. In addition, when it comes to retirement you will be entitled to a tax free lump sum. This means that investing in a pension is very tax efficient.

This will be influenced by your risk appetite, current market conditions, your age and the pension producer and product chosen.  There are many options from low to high risk funds, or you could invest in a particular type of asset or a mixed fund, investing in a spread of assets. These funds are carefully managed by a team of experts who aim to increase the value of your contributions. In any case we will carefully analyse your financial circumstance, your financial goals and your attitude to risk before investing your money, and ultimately the final decision lies with you.

As with most investments the value of your fund may fall as well as rise. The volatility of your investment generally reflects the risk profile of the fund. We have access to a broad range of companies and funds, ranging from low to high risk. If this is something you are concerned about we will offer you a choice of low risk funds which aim for steady growth with a lower risk of losing money.

How much you contribute will be influenced by a number of factors including your age, your anticipated retirement age, your existing income, your financial goals and how much you can afford to set aside each month. As general rule of thumb we suggest you aim for two – thirds of your earnings prior to retirement, however this may be too much or too little given your own personal circumstances. A good pension plan is likely to be one of your largest financial commitments, therefore it is so important you allow us to make sure you choose the option, product and payments best suited to what you want to achieve.

We deal with many Company Directors and employer’s wishing to set up an Executive Pension plan for their employees and themselves. An Executive pension plan is an extremely tax efficient way to save for your retirement and if you are a director of a company we would always advise you to save through your company. Your company’s contributions to the plan are deductible for Corporation Tax as a business expense. We will advise you on the tax benefits and we can help you meet any Revenue obligations.

Generally speaking, yes. There are of course times in your life where you can afford to contribute more or less and you can alter your contributions to accommodate your financial needs. There are limitations however on the tax relief you are eligible for on your contributions as it takes into account your earnings and age.

Yes, most pension plans offer you a wide range of funds to choose from and you may be able to switch all or part of your investment from one fund to the other. However, funds can fluctuate and they can rise as well as fall, therefore, we would always review your options with you and ensure you make an informed decision.

If you are in a company scheme, there are rules set by the scheme, but if it’s a personal pension you can retire anytime between your 60th and 70th birthday. It should be noted that  you can only draw the state pension from your 66th birthday at present but the date of qualification is due to be increased in the years to come.