confused about personal pensions! i opted out of serps in the80s, now what do ido?

tigerjoe

im tottaly confused about pensions, in the 80,s i opted out of SERPS and started a pension with Norwich union. this is now "ended". should i opt back into serps? A company- The cash saving company, has approached me for a "free" review, but im always suspicious of "cold callers". I realise that i have to do omething for the future, but have no idea which direction to take. any advice would be more than i have at the moment!

dunstonh

in the 80,s i opted out of SERPS and started a pension with Norwich union. this is now "ended". should i opt back into serps?

Contracting out of S2P (previously SERPS) was abolished and everyone who was still contracted out at april 2012 was automatically contracted back in.

The cash saving company, has approached me for a "free" review, but im always suspicious of "cold callers".

And so you should be. Most scams come from cold callers and in financial services, no genuine company cold calls.

I realise that i have to do omething for the future, but have no idea which direction to take.

https://www.unbiased.co.uk is the website that has 99% coverage for IFAs. Search by postcode to find your local ones. That site verifies regulatory status and qualifications. You pick the IFA and tell the cold calling company to sod off. That way you know you will be dealing with someone who is authorised to discuss your plan and other options.

Taxman1967

I ran a quick check on the company in question. They have a valid FSA number which I checked on the fsa.gov.org.

583335 -
The Cash Saving Company
Suite 20, The Springboard Centre
Ellerbeck Way
Stokesley
North Yorkshire
TS9 5JZ
44 01254 790159

mania112

nevermind...

dunstonh

Taxman1967 wrote: »

I ran a quick check on the company in question. They have a valid FSA number which I checked on the fsa.gov.org.

583335 -
The Cash Saving Company
Suite 20, The Springboard Centre
Ellerbeck Way
Stokesley
North Yorkshire
TS9 5JZ
44 01254 790159

However, they are not authorised to give advice or review pensions. They are only authorised to sell your details onto a firm that is. They only have introducer status.

Avoid.

mark55man

tigerjoe

listen to whats being said here in terms of the type of IFA you should be dealing with, although some basic reading (there is an MSE guide) which will help with the basics. This would help you get the most out of any meeting

broadly - in layman's terms (which is what I am), the contracted out pension with Norwich Union is a pot of money contributed by the govt for you to get a pension from instead of the using the govt SERPS scheme. This money is invested for you in some of the NU funds - and will provide a sum of money that you can use to get an income from one of a number of ways - usually involving an annuity and a lump sum

This is instead of the benefit called serps and now called the state second pension or SSP/S2P which will be in addition to your state pension (for which you qualify by paying your NI for a set number of working years or equivalents (eg child care, + others)

The calculation for S2P is really complicated (to the layman like me), but you can write off and get an estimate (sorry don't have the link to hand). if you have been contracted out since 80's until now, it is unlikely these will make a lot of difference as most of your money will be with NU earning on your contracted out contributions

Also there is government thinking about how to set up a flat rate scheme - which doubtless will involve some complicated transition/exemptions for the 50+ people - which will probably be confusing but try to be fair

So Basically the NU is one part of the pension, the state will provide the rest, and your company pension yet another (you dont say if this is final salary or defined contribution (ormoney purchase)

HTH _ probably just made it more confusing

le_loup

Taxman1967 wrote: »

I ran a quick check on the company in question.

Interesting that you knew "the company n question" unless you are also the original poster.
Try harder next time. this is not a website for con-men, scammers and spammers.
Now get lost ... please. (That's me being nice to two new posters.