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  • FIRST POST
    • JustAnotherSaver
    • By JustAnotherSaver 8th Oct 17, 10:16 AM
    • 2,389Posts
    • 370Thanks
    JustAnotherSaver
    Cheap pension providers for smaller contributions?
    • #1
    • 8th Oct 17, 10:16 AM
    Cheap pension providers for smaller contributions? 8th Oct 17 at 10:16 AM
    * Just to kick start this thread with basic rate taxpayers and likely always will be. So now that we don't need to really consider higher rate tax relief....

    I thought i had a few pages bookmarked from when i looked into this for myself but i either didn't or i must've deleted them as i can't find the pages now.

    I personally went with Cavendish Online because they were the cheapest, they offered the funds i were looking at & importantly ... i could afford their minimum of £200 per month and i'm sure i'll be able to for the foreseeable.

    Just making this thread on behalf of 2 people, one of which certainly wont be able to hit Cavendish's £200pm requirement, the other maybe could but it'd be stretching and not worth it, plus there'll certainly be months where they can't & it's just better if they can comfortably meet any minimum requirement.



    Right now they're investing in the form of a S&S ISA into Vanguard funds. One has a pot of around £11k & the other around £4k. They're both unsure whether to bring those pots over to the pension & have their retirement plan all in the form of a pension or whether to leave that money where it is in the form of a S&S ISA but any future contributions would go in to a pension.

    Both are currently with Haregeaves Lansdown but i understand this is certainly not the cheapest and neither feel any loyalty towards HL (as in they'd be happy to move wherever is best for their money).

    From talking to them about it both are leaning towards sending their pots over into a pension & having the whole lot in pension format but if there's a good reason not to do that then please post your view.




    Regardless, whether they start a pension today from £0 or whether they start from their current pot size, both will be looking to contribute between the £100-£200pm bracket so where really should they be looking?

    Thanks.

Page 2
    • Thrugelmir
    • By Thrugelmir 11th Oct 17, 7:44 PM
    • 55,528 Posts
    • 48,880 Thanks
    Thrugelmir

    Sure it's great to see the 25% government bonus when contributing to a SIPP or the reduced tax on a payslip but you need to consider the tax paid on income when they become a pensioner.
    Originally posted by Alexland
    At least the money saved offers the opportunity to retire early or reduce hours to part time. With an increasing retirement age. Many people will find themselves struggling to be gainfully employed in their latter years. Once out of the work cycle. Difficult to get back in.
    "Wide diversification is only required when investors do not understand what they are doing." - Warren Buffett
    • JustAnotherSaver
    • By JustAnotherSaver 11th Oct 17, 9:10 PM
    • 2,389 Posts
    • 370 Thanks
    JustAnotherSaver
    At least the money saved offers the opportunity to retire early or reduce hours to part time. With an increasing retirement age. Many people will find themselves struggling to be gainfully employed in their latter years. Once out of the work cycle. Difficult to get back in.
    Originally posted by Thrugelmir
    I'm not sure whether you're rating the pension or the ISA there

    or neither and are saying something else totally

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