New to pensions - Stick with Nest or go elsewhere + other questions

MPD

This may not apply but it is worth checking.

I know someone who was in a similar situation and it turned out the employer wasn't paying NI, although they were deducting them. The employer went bankrupt about the time it was discovered. End result, this person is 2 years light on NI years for state pension.

How long have you been working here? Maybe an online check of your contribution record would be in order.

neilvw

By default Nest puts investors into a Retirement Date fund, which I think is set at your State Pension age. For you this would be 68 (under current legislation), so Nest 2058 Retirement Fund.

That fund has returned, on average, +9.1% a year between the end of 2011 and the end of 2016, slightly better than the FTSE-100 which has returned c. +8.7% a year on the same basis.

There is a 1.8% charge on each contribution, mind, not included in those performance figures. This is to pay off the Government loan and will take many years to disappear.

The annual management charge on Nest funds is 0.3%, and over the long term that plus the contribution charge adds up to c. 0.5% per annum.

dunstonh

This is to pay off the Government loan and will take many years to disappear.

if ever. I suspect it will get written off at some point.