Consolidate several small pensions?

bettyboo71

I am 45 and not expecting to retire for maybe 20 years.
I have several small plans from a few different company pensions over the years, but fortunately most of them seem to have ended up with the same provider. They are going to send me an updated statement showing the value of all of the different accounts, but I'm suspecting it will possibly be £25-30k. I also have another pension with a totally seperate company with just over £10k - this one has informed me that I can transfer it to another company but I cannot transfer any other funds into this one.

For the sake of simplicity, and to keep admin costs down, my understanding is that it would make sense to transfeer them all into one pension fund. And as one of the companies won't let me trnsfer in to theirs, that seems to narrow my choices, but I do have the time and a reasonable amount of financial understnding to shop arround.

So, finally, getting to the point - is there any reason not to put them all into one pension? Would it be best to consolidate all of the ones that are already with the same company, and to keep the other one seperate? (They are both big, well established companies, and although I know tht is no guarantee, it does seem a bit safer than the various smaller companies that some of them were previously with)

Or would I be best to shop around for a totally new plan and transfer it all in there?

I do intend to start regular payments once I get this all sorted, as most of these have been left for years.

Linton

You may have difficulty consolidating into an old employers scheme. They have no particular reason to spend the time and effort doing this. Probably better to chose a new one with access to a wide range of funds and consolidate there. First check that there are no guarantees with the old pensions - you probably dont want to lose these. Once consolidated into a new pension you can then continue to pay in which may well not be possible with an ex employers scheme.

Other than losing guarantees the only reason not to consolidate is if you want to take the pensions at different times. Not consolidating makes it slightly easier and gives you more options.

xylophone

but I do have the time and a reasonable amount of financial understnding to shop arround.

Would you wish to consider a SIPP?

http://monevator.com/find-the-best-online-broker/

http://monevator.com/using-vanguard-lifestrategy-funds-life/

Hargreaves Lansdown are not the cheapest but their web site is second to none and they are very efficient - it might be worth your while exploring this option. The staff are well trained and helpful on the phone.

http://www.hl.co.uk/partners/search/sipp?theSource=PCHLS&Override=0&adg=G+HLBS+HLS&gclid=CNffgd-7vM4CFQcq0wodxu0AgA

https://www.cavendishonline.co.uk/pensions/ might be worth a look.

Are you now self employed? Or do you intend to contribute to your personal pension as well as to your occupational scheme?

Have you obtained a new state pension statement?

https://www.gov.uk/check-state-pension

If you decide that you need professional assistance you could look into employing an IFA.

https://www.unbiased.co.uk/

bettyboo71

Thanks for the help and information. Clearly there are other options that I had not considered. I am considering an IFA, as I figure the epense probably outweighs the risk of me getting it wrong and losing out long-term.

I am not working at the moment, but epect to have a new job iin the next few months. Based on my current situation I would hope to be able to pay into a personal pension and an occupational one, if it is available (as I will be working part time so may not earn enough, IIRC)

I have checked my state pension statement and that looks okay - I have to work for 8 years to qualify for the full pension.

kidmugsy

My own rule of thumb is that it's a nuisance having many pensions but it's OK having two.

So I consolidated a whole bunch at Hargreaves Lansdown. There are tables of costs showing that HL is decent value for a SIPP up to somewhere around £40k, but that above that you could find better value elsewhere. But these things keep changing; a different decent provider, AJ Bell, has just bunged its charges up.