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Contribute more to company pension or SIPP for my wife?

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  • arbster
    arbster Posts: 172 Forumite
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    jem16 wrote: »
    Lower than other SIPPs or lower than Cavendish's PP option?
    Both of the above - 0.30%pa for a sub-£100k fund.
  • jem16
    jem16 Posts: 19,880 Forumite
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    arbster wrote: »
    Both of the above - 0.30%pa for a sub-£100k fund.

    That's only the fee for the pension wrapper though. What about the fees for the fund/s?
  • arbster
    arbster Posts: 172 Forumite
    Sixth Anniversary 100 Posts Combo Breaker
    jem16 wrote: »
    That's only the fee for the pension wrapper though. What about the fees for the fund/s?
    Given that I'm planning to invest in either VLS 60 or L&G MI5, the fees are 0.24% and 0.31% respectively, which appears to be consistent with all other platforms. This gives a total annual charge of 0.54-0.61%, which is still below the 0.70% cost of Personal Pensions, the majority of which also have AMCs for wrapped funds.
  • jem16
    jem16 Posts: 19,880 Forumite
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    arbster wrote: »
    which is still below the 0.70% cost of Personal Pensions, the majority of which also have AMCs for wrapped funds.

    Once you get to £50k, the PP with Cavendish is 0.4% and that includes the fund charge for internal funds. Only external funds have extra charges.
  • arbster
    arbster Posts: 172 Forumite
    Sixth Anniversary 100 Posts Combo Breaker
    jem16 wrote: »
    Once you get to £50k, the PP with Cavendish is 0.4% and that includes the fund charge for internal funds.
    Hmm, thanks. I'd better look more closely at that.
  • arbster
    arbster Posts: 172 Forumite
    Sixth Anniversary 100 Posts Combo Breaker
    Ok, I looked, and it appears that the 0.4% charge for PPs only applies to the Aviva/Aegon PPs, some funds still have additional AMCs, and neither of these options offer either the VLS60 or L&G MI5, unless I'm missing something.
  • jem16
    jem16 Posts: 19,880 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    arbster wrote: »
    some funds still have additional AMCs,

    Internal funds wouldn't have extra charges as I said. Only external funds do.
    and neither of these options offer either the VLS60 or L&G MI5, unless I'm missing something.

    No I don't expect you're missing something. What I meant was that an internal fund may well do the same job as the two funds you've mentioned.
  • arbster
    arbster Posts: 172 Forumite
    Sixth Anniversary 100 Posts Combo Breaker
    jem16 wrote: »
    Internal funds wouldn't have extra charges as I said. Only external funds do.

    No I don't expect you're missing something. What I meant was that an internal fund may well do the same job as the two funds you've mentioned.
    Sorry, I missed the key word. 0.21% annually is worth a little more research.
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