Sense Check.... Am I ok?

TitusAduxas

Hi everyone,

Quite new here so please be nice.....

Basically I have been paying into my employers Group Personal Pension Plan for the last 5 years, and although i keep a regular eye on it, I wondered if some of you who know much more about these things could advise whether I am on the right track or not?

I am 33 years old, and my employer pays 5% contribution. I pay 7%, although as they do salary sacrifice, on my statements it appears as if I don't pay anything. It works out as £301:44 actually appearing on the statement each month, and I assume the tax is included in this.

The Pension is with Scottish Equitable (AEGON as it is becoming), and I believe the charges rate is 1%.

I am contracted out, which I am aware is a risk, hwoever I would prefer to have the Govts money in my control, rather than rely on todays promises for tomorrow if you know what I mean.

In total I have NPR £15,169:76, and PR £6,918:57.

These are invested in the Balanced Lifestyle Fund as £19,224:98, and since having a chat with my works Financial Advisor, £2,753:06 in the Dynamic Lifestyle Fund. All future contributions are going into the Dynamic Fund.

Havign added up all my contributions, and deducted the charges, I figure out that I have paid £17,663:95 into it so far, and the pension pot is worth £22,088:33. Is that a reasonable rate of return?

My OH has a Civil Service Final Salary Pension - Lucky her...

I appreciate that you aren't allowed to recommend funds due to FSA regs, but I just wondered if you could say if, in your humble opinion, I am on target for more than sugar puff sandwiches in my old age. Is what I doing so far reasonable? Are the funds appropriate for someone my age?

Are there any questions I should be asking my Financial Advisor?

Any comments would be hugely appreciated.

Cheers,

Titus.

TitusAduxas

Never mind chaps - Thanks for those who took the time to read my post...

I suppose I will have to take what I am told by the Pension Company at face value.

All the best.

Titus

dunstonh

Sorry missed the post before.

The stockmarket crash in 2001/2 so early contributions would have lost money initially but later contributions would have been the units much cheaper. A stockmarket crash in the early years is a great thing to happen. Its in later years that you dont want it. Your value seem to be fine for a monthly contribution.

I appreciate that you aren't allowed to recommend funds due to FSA regs, but I just wondered if you could say if, in your humble opinion, I am on target for more than sugar puff sandwiches in my old age. Is what I doing so far reasonable? Are the funds appropriate for someone my age?

Are there any questions I should be asking my Financial Advisor?

The very questions you have asked just there. We dont know what funds your scheme has available so it would be hard to make recommendations even if we were allowed to. The funds should be picked on your risk profile, not mine or anyone elses. The adviser should work out your risk profile with you and make a recommendation for funds (if indepedent) or give you a choice of funds in your risk profile for you to pick (if tied).

I suppose I will have to take what I am told by the Pension Company at face value.

If you dont have faith in the pension company information then get an IFA to look at it.

TitusAduxas

Cheers Dunston - Thank you very much...