Options for AVCs

Thesmiths

We have two company AVC plans With standard life operating alongside our company pensions. It is possible that these pension plans will be stopped early and frozen after 23 years.

It light of this The AVCs also have to be stopped so we will have invested in the AVCs schemes for 10 years with a current combined valuation of approx £20K. This valuation means that even if the AVC plans were frozen until retirement some 20 years from now the annual return from them would be very low and of limited value for retirement planning.

Our question is if the are alternative investment options we could consider for this money that may work better for us over the next 20 years, now the pensions will not run there full course?

jem16

Thesmiths wrote: »

Our question is if the are alternative investment options we could consider for this money that may work better for us over the next 20 years, now the pensions will not run there full course?

Depending on current tax status it would either be an alternative pension or S&S ISAs.

Are you a higher rate taxpayer?

Thesmiths

Yes we are both pay higher rate tax.
We currently max out on investment ISAs.
Thanks

jem16

Thesmiths wrote: »

Yes we are both pay higher rate tax.

Then it makes sense to use pensions assuming you won't be higher rate taxpayers in retirement.

You can either leave the AVC pot where it is or transfer to another pension if favourable and continue paying into it.