Pension advice 30years old

Anthony85kent

Hi all

I currently have a work based pension, I contribute 1% and my employer matches this. I have the option to increase it by as much as I like however my employer only matches to 3%.
The pension company that handles this is standard life.
My question is:
Is this pension scheme safe or do I risk losing my money if the company / standard life go bust

Do you recommend I stick to 1% or increase? I can afford to just do t k ownif it’s worth it

Thanks

xylophone

A good idea to contribute what your employer will match.

You have a DC Scheme.

https://www.moneyadviceservice.org.uk/en/articles/how-safe-is-your-workplace-pension

bostonerimus

Contribute enough to get the full employer match.
Your pension will be safe, but you should understand the fees and funds that you are invested in. You might get a better deal by opening a SIPP and you should also look into an ISA as that gives you lots of flexibility as the money can be accessed tax free at any time.

However you split up your contributions between workplace pension, SIPP and ISA you should try to save 20% of your gross salary in total....I know that's tough, but if you up your workplace pension contribution to 3% and the employer adds 3% you are at 6% already and try to get up to 10% by maybe putting 4% into an ISA. Then try to add a couple of percent each year.

Alexland

xylophone wrote: »

https://www.moneyadviceservice.org.uk/en/articles/how-safe-is-your-workplace-pension

I find that MAS article to be very misleading as it is generally written with the expectation that the defined contribution scheme is invested in insured funds and providers. There are workplace pensions which like SIPPs will be subject to the £50k investment protection limit and the article leaves you incorrectly thinking you are fully protected.