wealth at work

PurplePixie999

The company I work for are offering all employees impacted by its pension change proposal the option of gaining free financial advice from this company. Can anyone tell me anything about this company? Would they have to be totally independent to the company? What is the purpose of using this company to help staff consider changes to their work pension?

thank you

xylophone

http://forums.moneysavingexpert.com/showthread.php?t=5250259
might be worth a look.

What change is being made and on what terms?

PurplePixie999

The company wants to close its defined benefit scheme. It is under consultation at the moment. I cant understand how wealth at work can help employees.

bigadaj

PurplePixie999 wrote: »

The company wants to close its defined benefit scheme. It is under consultation at the moment. I cant understand how wealth at work can help employees.

They can explain the proposed changes and potentially how they will affect employees.

As they are paid for by the comoany then they will only be liable to teh company, so take up their offer but don't take their advice as gospel in terms of being in your interest rather than the companies.

Presumably teh company will be closing the old scheme, have they offered alternative arrangements as options or choices?

Are you a member of a union, as they might be able to advise?

They will presumably be moving to a defined contribution scheme, the value of the db scheme would be variable depending on the members age and how it is administered and the benefits available, but a rule of thumb would that it might be worth 25-30% of salary, how does this compare with the alternatives being proposed?

dunstonh

Would they have to be totally independent to the company?

No. There is no requirement for the firm to use an IFA.

What is the purpose of using this company to help staff consider changes to their work pension?

One assumes the company is paying this company to provide advice to those that need it.

The company wants to close its defined benefit scheme. It is under consultation at the moment. I cant understand how wealth at work can help employees.

When if comes to DB closures, that will almost certainly be an advice area.

greenglide

They can show the employees what the closure of the DB scheme means to them and explain what any replacement scheme has to offer?

Is the scheme closing to new members, closing for all future investments or winding up?

tigerspill

Wealth at work are very good. My company uses them and I have availed of their advice several times.
When they work with companies (who pay them) they really get under the skin of things like the company's specific pension. They gain infinitely more knowledge than any IFA can get as they focus on specific areas.
They also have a very good general understanding. I have found them superb.

The downside is that they do offer their own products which they tailer to the individual - of which I have bought some. My view is there are better products out there as their fees are much higher than say tracker and that hits growth hard.

robin61

I have gone to a couple of Wealth At Work seminars through my company. They provided a useful insight and the first one inspired me to really focus on my retirement plan. So I would definitely go and listen to what they have to say. I agree with some of the others they will probably know more about your specific company scheme and what's happening with it than you can reasonably expect of most IFAs.

However I have to speak as I find. We did not find them an easy company to do business with. We are a lot happier with the IFA we are with now where we get a great service from a local company.

PurplePixie999

Thank you for all the replies, really helpful. The pension scheme is to be closed to further investment. Staff will then be allowed to join the defined contribution scheme available to newer staff. My concern from looking at the wealth at work website is that it is a company involved in charging for recommendations. Should advise not be from somewhere that as no financial interest in advising staff.

dunstonh

My concern from looking at the wealth at work website is that it is a company involved in charging for recommendations.

They have to charge as commission is banned. However, in respect of the workplace scheme, that charge will be met by the employer. In respect of any other business you may transact via them (should you choose to do so) then you will be charged.

Should advise not be from somewhere that as no financial interest in advising staff.

You have a right to employ and pay for your own independent adviser. However, whether the adviser firm is independent or restricted, they still have to give best advice (within the restrictions, if restricted)

xylophone

Are you with M&S by any chance?

if so (or even if not) you might find this thread of interest. http://forums.moneysavingexpert.com/showthread.php?p=70790294#post70790294