Re-starting pension payments

Billy_Keith

I contacted my private pension provider and due to financial circumstances have not paid my contribution of around £85 for 3 months now.  I am now in a position to re-start payments.  I am due to retire at 65 in 5 years time (obviously I could take this pension before) would I be better just saving the money or re-starting the pension?

MallyGirl

you get tax relief on a pension and employer contributions - free money. Restart the pension

Billy_Keith

I dont pay this through my employer and cant claim tax relief as I dont earn over the threshold - £50k I think

dunstonh

would I be better just saving the money or re-starting the pension?

You haven't given us much detail to go on. However, going by averages and what is likely, then the pension would wipe the floor with savings.  Even without an employer contribution or higher rate relief.

Albermarle

Billy_Keith said:

I dont pay this through my employer and cant claim tax relief as I dont earn over the threshold - £50k I think

You will still get basic rate tax relief, the pension provider claims it on your behalf and adds it to your pension

Brynsam

If you're back in employment, first port of call is to look at the employer's scheme, so you get an employer contribution.