Starting my Plan - any advice?

Alexland

LateStarter wrote: »

I feel another spreadsheet coming on, and I need to see what alternate funds are available on L&G. Is it really possible to get the cost that low?

If you have a big enough account valuation, use low cost funds/ETFs on a fixed fee (or capped fee) platform it's absolutely possible to get fund+platform to under 0.25%.

My SIPP is invested in the HTBC FTSE All World fund at 0.16% on Halifax Share Dealing where the £180 pa platform fee is around 0.08% of the account valuation. I just add enough cash each month to pay the platform fee.

My Fidelity workplace pension is mostly in a 0.20% bond fund with some allocation to a 0.33% equities fund. The platform fee is covered by the fund costs which are basically rewrapped versions of ultra low cost institutional Blackrock funds. I can rebalance between these two funds (no trade fees or time out of market) to achieve my overall target equities/bond mix across the pensions - including taking advantage of market dips to increase my equities exposure.

Alex

LateStarter

bostonerimus wrote: »

Reduce your spending. If you spend 20k a year see if you can be happy on 15k

I do understand where you're coming from, and I'm trying to balance life. There's a lot of small things I'm unwilling to give up (the occasional gig, or a weekend takeout). For now, for me, it's a step too far for a future that may never come.

LateStarter

The consensus seems to be that the charges in my Workplace Pension will probably be lower than those in a SIPP. How do you guys deal with diversification pre-retirement? Is it just multiple trackers under the same pension umbrella?


I'm obviously just starting to actively considerand plan for retirement, and it's slightly unsettling that my entire future is in the hands of one company.