Estimated pension return not looking good.

dunstonh

Thanks for the figures

Your contributions and current value are not realistic to expect retirement in your late 50s unless you are building up a large pot by other means. Indeed, its not realistic for 60 either.

The investment fund you are in is probably not the best option (unless it has guarantees attached to it). You should check out what other options area available to you.

davidscot

dunstonh wrote: »

Thanks for the figures

Your contributions and current value are not realistic to expect retirement in your late 50s unless you are building up a large pot by other means. Indeed, its not realistic for 60 either.

The investment fund you are in is probably not the best option (unless it has guarantees attached to it). You should check out what other options area available to you.

There are other various funds that I can spread my contributions around with but its picking the best ones for the most gain. Maybe time to get a IFA to have a look at options available on pension.

jamesd

Definitely worth going to unbiased.co.uk and finding an IFA to give advice. With profits funds are mostly discredited.

The 7% figure isn't an estimate of actual investment performance, just a nominal figure that is to be used in pension projections because it's a fairly low and safe target. For a with profits fund it might be insufficiently pessimistic, depending on the particular with profits fund.

You're probably missing out on all of the world's growth outside the UK. That's a huge hole in your investing that should be addressed because many non-UK markets have tremendous potential.

An IFA can give you some idea of how much to invest each month to have a good chance of hitting a given target income at a specified age. Then you can either decide to pay that much or to adjust your plans according to what you're willing to pay.

Late 50s or even 55 is doable but only with a significant increase in pension contributions.

EdInvestor

davidscot wrote: »

Invested 100% in a With Profits fund
hope this helps

Don't move this before thoroughly investigating any guaranteed annuity rates that may be attached.This could be valuable.

New money can be allocated to racier funds which should perfgorm better.

Who is the provider and what other fund choices are there?

davidscot

EdInvestor wrote: »

Don't move this before thoroughly investigating any guaranteed annuity rates that may be attached.This could be valuable.

New money can be allocated to racier funds which should perfgorm better.

Who is the provider and what other fund choices are there?

The provider is Prudential and by the looks of things there are 10 plans that I can use to boost the fund.

bendix

davidscot wrote: »

The provider is Prudential and by the looks of things there are 10 plans that I can use to boost the fund.

I think you mean diversify the fund. The day a fund guarantees that it can boost something, is the day I will be over them like a rash.

EdInvestor

davidscot wrote: »

The provider is Prudential and by the looks of things there are 10 plans that I can use to boost the fund.

OK first check for guarantees and find out what you have to do to keep them (you may have to pay a minimum amount into the WP fund.)

davidscot

bendix wrote: »

I think you mean diversify the fund. The day a fund guarantees that it can boost something, is the day I will be over them like a rash.

Yes diversify the fund is what I meant, it was just a slip of the tongue but you got the drift.

davidscot

jamesd wrote: »

Definitely worth going to unbiased.co.uk and finding an IFA to give advice. With profits funds are mostly discredited.

The 7% figure isn't an estimate of actual investment performance, just a nominal figure that is to be used in pension projections because it's a fairly low and safe target. For a with profits fund it might be insufficiently pessimistic, depending on the particular with profits fund.

You're probably missing out on all of the world's growth outside the UK. That's a huge hole in your investing that should be addressed because many non-UK markets have tremendous potential.

An IFA can give you some idea of how much to invest each month to have a good chance of hitting a given target income at a specified age. Then you can either decide to pay that much or to adjust your plans according to what you're willing to pay.

Late 50s or even 55 is doable but only with a significant increase in pension contributions.

Have used unbiased.co.uk to find a local IFA and have got a free intial interview with them to discuss pension arrangements.
Thanks to all for help in this matter:beer:

davidscot

Just a post to say that I used unbiased.co.uk to look for a IFA using their voucher system, got a local one who gave me an hour of his time giving some good advice on how to maximise my pension fund.
I'm going to use his help to get as much into the pot as I can.
Thanks again for anyone who posted help on this subject :j