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    • FrugalWeirdo83
    • By FrugalWeirdo83 12th Oct 17, 3:58 PM
    • 18Posts
    • 75Thanks
    FrugalWeirdo83
    Pension confusion
    • #1
    • 12th Oct 17, 3:58 PM
    Pension confusion 12th Oct 17 at 3:58 PM
    I pay into a work based ben pal pension and put in 50 quid a month of additional voluntary contributions which I was thinking of increasing but can also see that you can make regular contributions based on a percentage of your 'benefit salary'. Im pretty hopeless at understanding all the jargon but wondered if anyone could tell me if there is a difference and if one is better than the other
Page 1
    • Kynthia
    • By Kynthia 12th Oct 17, 4:52 PM
    • 4,993 Posts
    • 6,970 Thanks
    Kynthia
    • #2
    • 12th Oct 17, 4:52 PM
    • #2
    • 12th Oct 17, 4:52 PM
    I pay into a work based ben pal pension and put in 50 quid a month of additional voluntary contributions which I was thinking of increasing but can also see that you can make regular contributions based on a percentage of your 'benefit salary'. Im pretty hopeless at understanding all the jargon but wondered if anyone could tell me if there is a difference and if one is better than the other
    Originally posted by FrugalWeirdo83
    I might be wrong but signing up to put a percentage of your salary means the amount going into your pension increases automatically when your benefit salary (possibly your salary excluding things like bonuses and certain allowances but you'd need to get the definition from work) increases. So you wouldnt need to change the amount as regularly as you would for a fixed figure.
    Don't listen to me, I'm no expert!
    • FrugalWeirdo83
    • By FrugalWeirdo83 12th Oct 17, 5:52 PM
    • 18 Posts
    • 75 Thanks
    FrugalWeirdo83
    • #3
    • 12th Oct 17, 5:52 PM
    • #3
    • 12th Oct 17, 5:52 PM
    Ah that makes sense Thank you
    • worried jim
    • By worried jim 12th Oct 17, 5:56 PM
    • 8,633 Posts
    • 13,157 Thanks
    worried jim
    • #4
    • 12th Oct 17, 5:56 PM
    • #4
    • 12th Oct 17, 5:56 PM
    I would recommend paying in as much as you can, especially if your employer increases their contributions, after all it's free money!
    "Only two things are infinite-the universe and human stupidity, and I'm not so sure about the universe"
    Albert Einstein
    • enthusiasticsaver
    • By enthusiasticsaver 12th Oct 17, 6:09 PM
    • 4,410 Posts
    • 8,179 Thanks
    enthusiasticsaver
    • #5
    • 12th Oct 17, 6:09 PM
    • #5
    • 12th Oct 17, 6:09 PM
    When I overpaid into my pension I used a percentage basis so every time I had a pay rise the pension contribution also increased
    Countdown to early retirement on 21.12.17 3 months to go.
    • worried jim
    • By worried jim 13th Oct 17, 11:56 AM
    • 8,633 Posts
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    worried jim
    • #6
    • 13th Oct 17, 11:56 AM
    • #6
    • 13th Oct 17, 11:56 AM
    When I overpaid into my pension I used a percentage basis so every time I had a pay rise the pension contribution also increased
    Originally posted by enthusiasticsaver
    I'd something very similar, I'm already at maximum employer contributions so I put mine into the share save and share match schemes.
    "Only two things are infinite-the universe and human stupidity, and I'm not so sure about the universe"
    Albert Einstein
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