New job & pension scheme

seven-day-weekend

Join the pension scheme.

What is the option if you don't? Where is your retirement fund going to come from? Where else are you going to get someone else contribute to it for free? How else are you going to get the tax relief?

You will have the option of transferring it or leaving it to grow if you leave, you won't miss the money, I don't see why you think it might be a bad idea.

Just mho.

Also, like cyclonebri, I wish I had had the opportunity to join a company scheme at your age. But then again, I'm nearly 60, I KNOW how they years creep up on you! Don't think they won't creep up on you because they will!

(You will of course be building up State Pension but that is only £5000 pa on today's rates).

EdInvestor

You may want to check your future likely entitlement to the two state pensions - https://www.thepensionservice.gov.uk

If you want something a bit more sophisticated (and,in a way, easier to understand, especially to anyone who has a stocks and shares ISA) you can do exacxtly the same thing as Dithering Dad does with his stakeholder by opening a cheap online SIPP. The rules about access to the money are same, but with the SIPP the whole investment side is a lot more normal.

It's a pity to waste the free money, and it simply isn't necessary to do so, even if you have a lot of short run jobs, with the advent of the personal SIPP/stakeholder.

bendix

The point that noone has addressed here is the OP's view that if he is in a job only 2-3 years, he loses the money.

He doesnt. Then pension pot that has accumulated still exists completely seperately from the employer, and can be added to in your next job, and your next, and your next.

Anyone who refuses a personal pension plan into which the employer is making contributions is, frankly, a financial numpty. It's free money, albeit money you can't access until you're 55.

Dithering_Dad

bendix wrote: »

The point that noone has addressed here is the OP's view that if he is in a job only 2-3 years, he loses the money.

He doesnt. Then pension pot that has accumulated still exists completely seperately from the employer, and can be added to in your next job, and your next, and your next.

Anyone who refuses a personal pension plan into which the employer is making contributions is, frankly, a financial numpty. It's free money, albeit money you can't access until you're 55.

I addressed it.

I even gave an example where I have also had short periods with employers and when I left, I transferred my company pension either to my next employer or into a stakeholder pension - which as EdInvestor rightly noted, is now in a SIPP.

Since the A-day pension changes, your employer has to offer you the option of transferring your pension, even if you've been with them less than 2 years.

bendix

Dithering_Dad wrote: »

I addressed it.

I even gave an example where I have also had short periods with employers and when I left, I transferred my company pension either to my next employer or into a stakeholder pension - which as EdInvestor rightly noted, is now in a SIPP.

Since the A-day pension changes, your employer has to offer you the option of transferring your pension, even if you've been with them less than 2 years.

Yeah, but nobody ever reads what you post, DD

:rolleyes:

Dithering_Dad

bendix wrote: »

Yeah, but nobody ever reads what you post, DD

:rolleyes:

Oh yeah. I forgot.

jem16

bendix wrote: »

The point that noone has addressed here is the OP's view that if he is in a job only 2-3 years, he loses the money.

It was addressed in Post 8 & 9 - did you not read them?

bendix

jem16 wrote: »

It was addressed in Post 8 & 9 - did you not read them?

I never read anything that hasnt been written by me. I mean, what's the point?

freakyogre

Thank you for all the further replies. Like I said in my last post I have requested more information as like I said in my original post (which some people chose to ignore) I do not understand it all, so wasn't happy agreeing to something without all the details available. When I have that information I will make a decision. All I really asked for was a bit of help, which most people have given. I will read it on it again as it isn't something that has come up before so I have never had to think about it.

cyclonebri1; believe it or not but I do not feel invincible, I am the sort of person who takes each day as it comes, so if that makes me immature, then so be it. I found your post quite patronising and it's sad if that is how people see 'younger' people.

bendix; (i'm female ) that is how I initially understood it, but people have stated otherwise.
Also, I don't plan to be moving jobs every 2-3 years at all, but unfortunately the 2 jobs I have had since leaving school have ended in redundancy.

ozzage

FWIW even if I knew 100% that I would lose the job in 2 years, I would still take the pension. You're getting extra money from your employer for free. What's not to like? At the end of the two years the worst-case scenario is that you've got the start of a pension pot to take under your control and grow further.