Pension company questions

David_Evans

I have a few questions about pension companies.
Maybe others will find them simple, but I have had a look around and I'm still not sure.

1. I am an employee / worker, but not entitled to join any pension scheme run by my employer. I've been looking at starting a pension with one of the online platforms (such as HL, AJ Bell etc). It seems quite similar to ISAs (which I'm familiar with) - except you can claim tax relief on investment and cannot withdraw the money until aged (?)55.

But having spoken to a few other people, they mention other pension companies (I've never heard of - can't remember the names sorry), that apparently have high fees and generally don't sound like a good deal. These companies seem to be linked to their employer in some way. It sounds as if the platform and actual investments are tied together in some way - ie the investor doesn't actually choose their own investments.

Further to this, I've heard some cases (on the radio, whilst driving) about pension companies holding the investors money for a long time and charging fees higher than the actual value of the investments. This all sounds quite odd, as most platforms I've had ISAs on charge (eg 0.25pc) of the total investment values.

Some of the cases I've heard about in the media involve people leaving their pensions alone for many years (20+) - only to find the pension investment has dwindled, but the charges remain.
Now this this all seems odd to me, as I'm a believer in buying an accumulation fund and just leaving it alone.

So am I overly complacent about the whole thing?

Thanks,

Dave.

xylophone

I am an employee / worker, but not entitled to join any pension scheme run by my employer

Why not?

https://www.gov.uk/workplace-pensions/joining-a-workplace-pension

You can open a personal pension for yourself.

Some reading:-

https://www.moneysavingexpert.com/savings/discount-pensions/

https://www.cavendishonline.co.uk/pensions/

https://moneytothemasses.com/saving-for-your-future/pensions/the-best-cheapest-sipps-low-cost-diy-pensions

https://monevator.com/the-most-important-goal-for-every-retiree/

https://monevator.com/low-cost-index-trackers/

https://www.which.co.uk/money/pensions-and-retirement/personal-pensions/contributing-to-a-private-pension-explained/tax-relief-on-pension-contributions-explained-a27f53z7qg3f

A book by John Edwards

DIY Pensions: A Simple Guide to Pensions, SIPPs & Retirement Planning

David_Evans

Thanks,

I'll have a look through those links.

I have a previous public sector pension, but I'm now classified as a (?casual) worker, rather than an employee - so not entitled to pension or holiday, sickness pay etc.

But hearing these latest stories, I'd like to find out more about workplace pensions - as opposed to SIPPs. I have some experience of (UK) equity investing in ISAs.

xylophone

Information about workplace pensions in first link above. But it appears that you are not eligible?

How old are you?

Are you drawing your PS pension or is it deferred?

David_Evans

xylophone wrote: »

Information about workplace pensions in first link above. But it appears that you are not eligible?

How old are you?

Are you drawing your PS pension or is it deferred?

I'm 32.

Looking at that govt website link, I'd say i'm a casual worker.
If I started rocking the boat by asking for pension or holiday pay etc, they'd probably just stop offering me work - so i don't want to 'rock the boat'.

My pension is preserved until age 65.

Thanks.

hyubh

David_Evans wrote: »

Looking at that govt website link, I'd say i'm a casual worker.

What does your contract say...?

If I started rocking the boat by asking for pension or holiday pay etc

You still accrue holiday as a casual worker.

David_Evans

hyubh wrote: »

What does your contract say...?



You still accrue holiday as a casual worker.

I don't have a contract. Just paid hourly, on an 'as required' basis.

I previously asked about holiday pay, but was told I was not entitled.

hyubh

David_Evans wrote: »

I don't have a contract. Just paid hourly, on an 'as required' basis.

I previously asked about holiday pay, but was told I was not entitled.

https://www.gov.uk/employment-status/worker

Marcon

If you're posting under your real name, you might want to ask the board guide to delete this thread and start a new one under an assumed moniker...

David_Evans

Marcon wrote: »

If you're posting under your real name, you might want to ask the board guide to delete this thread and start a new one under an assumed moniker...

You mean in case my employers read this?
Don't worry - they won't care.

ffacoffipawb

Marcon wrote: »

If you're posting under your real name, you might want to ask the board guide to delete this thread and start a new one under an assumed moniker...

David_Evans wrote: »

You mean in case my employers read this?
Don't worry - they won't care.

Probably hundreds of David Evans' in this country so unlikely to be a problem.