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  • FIRST POST
    • Costy
    • By Costy 3rd Sep 17, 10:09 AM
    • 25Posts
    • 5Thanks
    Costy
    Best stakeholder pension?
    • #1
    • 3rd Sep 17, 10:09 AM
    Best stakeholder pension? 3rd Sep 17 at 10:09 AM
    I want to start a stakeholder pension for my son, who has learning difficulties. I will also have to start one for my other son, who doesn't, because it wouldn't be fair otherwise! They are 23 and 21, my business is doing well at the moment, and I want them to benefit from the sort of financial planning that I made when I was their age. So, I want stakeholder pensions, what sort of charges are good? My eye was drawn to Virgin, as they already have ISAs with Virgin, they want 1% a year, is that good?
Page 1
    • firefox1956
    • By firefox1956 3rd Sep 17, 10:29 AM
    • 1,337 Posts
    • 758 Thanks
    firefox1956
    • #2
    • 3rd Sep 17, 10:29 AM
    • #2
    • 3rd Sep 17, 10:29 AM
    Who says that Stakeholder Pensions are the best option for your sons ??
    Just because a Stakeholder pension was good for your situation it may not be for your two sons.
    If your business is 'doing well' you would be better getting paid for professional advice for your sons.
    My opinion only of course.
    • bigadaj
    • By bigadaj 3rd Sep 17, 11:19 AM
    • 10,692 Posts
    • 6,983 Thanks
    bigadaj
    • #3
    • 3rd Sep 17, 11:19 AM
    • #3
    • 3rd Sep 17, 11:19 AM
    OP, how much are you thinking of contributing?
    • Costy
    • By Costy 3rd Sep 17, 11:47 AM
    • 25 Posts
    • 5 Thanks
    Costy
    • #4
    • 3rd Sep 17, 11:47 AM
    • #4
    • 3rd Sep 17, 11:47 AM
    I don't have a stakeholder pension, and I work like a dog, strangely, the harder I work, the better I do :-) - you have attitude Firefox.

    I want a stakeholder pension so that I can pay in variable amounts when I am doing well and when not so well, likewise when I retire they can do the same.

    Bigadaj I was thinking of a lump sum of £1k to start off, and £100 a month each for now.
    • xylophone
    • By xylophone 3rd Sep 17, 12:05 PM
    • 23,426 Posts
    • 13,622 Thanks
    xylophone
    • #5
    • 3rd Sep 17, 12:05 PM
    • #5
    • 3rd Sep 17, 12:05 PM
    https://www.cavendishonline.co.uk/pensions/stakeholder-and-personal-pensions/aviva/

    Be careful when making provision for a child with learning disabilities.

    (Effect on means tested funding.)
    • dunstonh
    • By dunstonh 3rd Sep 17, 12:08 PM
    • 89,560 Posts
    • 56,012 Thanks
    dunstonh
    • #6
    • 3rd Sep 17, 12:08 PM
    • #6
    • 3rd Sep 17, 12:08 PM
    1, my business is doing well at the moment, and I want them to benefit from the sort of financial planning that I made when I was their age. So, I want stakeholder pensions, what sort of charges are good
    There are not many stakeholder pensions left nowadays. However, Virgin is about the worst one out there.

    So, I want stakeholder pensions, what sort of charges are good?
    0.55% for small values.

    and I want them to benefit from the sort of financial planning that I made when I was their age.
    Yes, the younger you start, the cheaper the monthly contributions can be for the rest of your life (as long as you inflation link the contributions).
    I am an Independent Financial Adviser (IFA). Comments are for discussion purposes only. They are not financial advice. Different people have different needs and what is right for one person may not be for another. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
    • firefox1956
    • By firefox1956 3rd Sep 17, 12:44 PM
    • 1,337 Posts
    • 758 Thanks
    firefox1956
    • #7
    • 3rd Sep 17, 12:44 PM
    • #7
    • 3rd Sep 17, 12:44 PM
    I don't have a stakeholder pension, and I work like a dog, strangely, the harder I work, the better I do :-) - you have attitude Firefox.

    I want a stakeholder pension so that I can pay in variable amounts when I am doing well and when not so well, likewise when I retire they can do the same.

    Bigadaj I was thinking of a lump sum of £1k to start off, and £100 a month each for now.
    Originally posted by Costy
    I find your reply to my sensible comments on your original post to be extremely rude & rather offensive.
    Have a good day my friend.
    Last edited by firefox1956; 03-09-2017 at 12:47 PM.
    • cloud_dog
    • By cloud_dog 3rd Sep 17, 1:37 PM
    • 3,254 Posts
    • 1,816 Thanks
    cloud_dog
    • #8
    • 3rd Sep 17, 1:37 PM
    • #8
    • 3rd Sep 17, 1:37 PM
    I want to start a stakeholder pension for my son, who has learning difficulties. I will also have to start one for my other son, who doesn't, because it wouldn't be fair otherwise! They are 23 and 21, my business is doing well at the moment, and I want them to benefit from the sort of financial planning that I made when I was their age. So, I want stakeholder pensions, what sort of charges are good? My eye was drawn to Virgin, as they already have ISAs with Virgin, they want 1% a year, is that good?
    Originally posted by Costy
    Would a LISA be a better option for both, i.e. flexibility, re a property if appropriate (at some point) or for retirement? Because of the current LISA bonus there isn't a difference wrt pension tax benefit.
    Personal Responsibility - Sad but True

    Sometimes.... I am like a dog with a bone
    • greenglide
    • By greenglide 3rd Sep 17, 2:10 PM
    • 2,895 Posts
    • 1,867 Thanks
    greenglide
    • #9
    • 3rd Sep 17, 2:10 PM
    • #9
    • 3rd Sep 17, 2:10 PM
    there isn't a difference wrt pension tax benefit
    If one of the children has no income and does not expect to have significant income then the pension may have significant tax advantages.
    • Costy
    • By Costy 3rd Sep 17, 6:54 PM
    • 25 Posts
    • 5 Thanks
    Costy
    Yes, he is quite capable, he is running a small business that I set up for him, but he is never going to be a high flyer. He does have a help to buy Isa that he pays the maximum into each month, the other one just has a huge studen loan. I just want to help with them their future while I can. So which pension should I think of, if at all?
    • cloud_dog
    • By cloud_dog 10th Sep 17, 4:05 PM
    • 3,254 Posts
    • 1,816 Thanks
    cloud_dog
    If one of the children has no income and does not expect to have significant income then the pension may have significant tax advantages.
    Originally posted by greenglide
    Sorry, missed this post.

    Can you explain, as my understanding is that the addition of the LISA bonus is (in essence) the equivalent of the tax benefits (gross) on pension contributions, thereby making the overall financial benefits equal (that's my understanding).

    Whether there are additional 'benefits' considerations for the one child for a pension or a LISA I am unsure without investigating further.
    Personal Responsibility - Sad but True

    Sometimes.... I am like a dog with a bone
    • Susy909
    • By Susy909 11th Sep 17, 12:17 PM
    • 31 Posts
    • 0 Thanks
    Susy909
    The chepeast I found was the Aviva personal pension. 0.4% and no charges on most of the aviva funds.

    I think the Virgin one just invests it all in the ftse all share, I'm not sure if that is wise
    • p00hsticks
    • By p00hsticks 11th Sep 17, 1:23 PM
    • 5,707 Posts
    • 5,317 Thanks
    p00hsticks
    Can you explain, as my understanding is that the addition of the LISA bonus is (in essence) the equivalent of the tax benefits (gross) on pension contributions, thereby making the overall financial benefits equal (that's my understanding).
    Originally posted by cloud_dog
    There is a plus point to pensions if the person is likely to need means tested benefits at some point.

    As far as I'm aware, funds in a LISA will be counted as savings, as they are accessible, and therefore reduce the amount of benefit paid or even prevent it completely. Funds in a pension will not be counted (at least until the person reaches State Pension Age)
    • garybarlowsbeard
    • By garybarlowsbeard 13th Sep 17, 3:54 PM
    • 360 Posts
    • 563 Thanks
    garybarlowsbeard
    I'm looking to start a stakeholder pension so this is of interest to me. I can't seem to find an up to date comparison but have heard elsewhere that Aviva are good. Can anyone advise?
    • dunstonh
    • By dunstonh 13th Sep 17, 4:02 PM
    • 89,560 Posts
    • 56,012 Thanks
    dunstonh
    I'm looking to start a stakeholder pension so this is of interest to me. I can't seem to find an up to date comparison but have heard elsewhere that Aviva are good. Can anyone advise?
    Originally posted by garybarlowsbeard
    You wont find a comparison as there are hardly any providers left offering a stakeholder. Plus, with them being stakeholders, there is very little to compare.
    I am an Independent Financial Adviser (IFA). Comments are for discussion purposes only. They are not financial advice. Different people have different needs and what is right for one person may not be for another. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
    • cloud_dog
    • By cloud_dog 13th Sep 17, 4:16 PM
    • 3,254 Posts
    • 1,816 Thanks
    cloud_dog
    There is a plus point to pensions if the person is likely to need means tested benefits at some point.

    As far as I'm aware, funds in a LISA will be counted as savings, as they are accessible, and therefore reduce the amount of benefit paid or even prevent it completely. Funds in a pension will not be counted (at least until the person reaches State Pension Age)
    Originally posted by p00hsticks
    Hi...Yes, I get that but I was specifically referring to greenglides tax advantages comment (which I don't believe to be correct):

    If one of the children has no income and does not expect to have significant income then the pension may have significant tax advantages.
    by gleenguide
    Personal Responsibility - Sad but True

    Sometimes.... I am like a dog with a bone
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