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northernsaver

Hi all, hoping you can help with my query.

I'm 26 and live with my partner. I've been paying into a pension for several years now and the amount I've just had confirmed is just under £20k.

I've been told things have changed recently to help with pensions, but my Dad has been royally screwed over by his pension companies so won't get half of what he's paid in (I don't understand why or anything about this) which makes me dubious about the whole thing.

My partner isn't paying into a pension.

I've just started a new job where we aren't paying into a pension.

I've got quite a bit of equity in my home so I was thinking of claiming my pension and using it as a deposit for a buy to let property, which we'll keep until we retire and either live off the rent or sell it. Probably the latter.

Any experience with this or general advice would be much appreciated.

Thanks

CLAPTON

rachjenn wrote: »

Hi all, hoping you can help with my query.

I'm 26 and live with my partner. I've been paying into a pension for several years now and the amount I've just had confirmed is just under £20k.

I've been told things have changed recently to help with pensions, but my Dad has been royally screwed over by his pension companies so won't get half of what he's paid in (I don't understand why or anything about this) which makes me dubious about the whole thing.

My partner isn't paying into a pension.

I've just started a new job where we aren't paying into a pension.

I've got quite a bit of equity in my home so I was thinking of claiming my pension and using it as a deposit for a buy to let property, which we'll keep until we retire and either live off the rent or sell it. Probably the latter.

Any experience with this or general advice would be much appreciated.

Thanks

you can claim your pension pot when you are 55

mania112

rachjenn wrote: »

my Dad has been royally screwed over by his pension companies so won't get half of what he's paid in (I don't understand why or anything about this) which makes me dubious about the whole thing.

I think this is probably a massive over-exaggeration.

dunstonh

but my Dad has been royally screwed over by his pension companies so won't get half of what he's paid in (I don't understand why or anything about this) which makes me dubious about the whole thing.

Almost certainly your dad is wrong in his assumptions.

A pension fund is made up of what you pay into it, what an employer pays into it and tax relief. That is invested and investments fluctuate in the short term but aim for long term growth. So, the end pot is usually very much higher than the amount personally contributed.

A lot of people have misconceptions about their pensions. When you look at the detail you typically find the person is wrong.

I've got quite a bit of equity in my home so I was thinking of claiming my pension

you cant for another 31 years.

atush

Perhaps your father needs to inform himself about his pension as what you/he says cannot possibly be true.##

If he had a DB/final salary pension, and took it 10 years early, then maybe it was reduced (due to his choice) by half. Which would be your father being ripped off by his own actions, not someone doing it to him?