Opening pension

inquisitive_bunting

Hi there, new to forum so apologies if breaking any rules.

I've graduated from university within the last year, and I'm looking to open a pension but I'm unsure what my best option is.

For context, I have been doing temporary contract and freelance media work up until this point. I have some money saved, but no pension. I am about to start a 4 month full time contract in an office. I believe I will be entitled to pension contributions from this employer. 

Should I open a pension pot and deposit some money before I start this new job? And if so, which type of pension is best for someone in my position (freelance media professional, unsure when I will start my first permanent, full-time contract). 

Alternatively, should I wait until I start my new contract at the beginning of May and seek pension advice from my employer?

I hope that makes sense, please let me know if anything is unclear. Thanks 

Voyager2002

Why don't you ask your new employer now about pension arrangements and whether you would be eligible?

Incidentally, many (most?) media professionals are freelance for most of their careers, so your expectation of a permanent contract seems unrealistic. Perhaps open a SIPP, or look at pension schemes for freelancers.

Albermarle

Should I open a pension pot and deposit some money before I start this new job? And if so, which type of pension is best for someone in my position (freelance media professional, unsure when I will start my first permanent, full-time contract). 

There two basic types of pension;
Defined Benefit ( DB) sometimes referred to as 'Final Salary' . These are rare now in the private sector, and can not be opened by an individual.
So you are looking at the second type which are Defined Contribution schemes. These are really glorified saving/investment accounts where you slowly build up a pot of money. However by investing via a pension you can get tax relief on contributions. However you can not access the money until you are older.
DC pensions, come in different guises; SIPP; Personal pension; workplace pension; auto enrolment pension; robo pension etc .
Legally and tax wise they all work by the same DC pension rules. Differences are down to things like ; ease of use, charges, choice of investments etc
At  your stage I would not be so bothered about which one, although I would monitor how your money is invested in the pension.
You will probably find your new employer will have their own associated scheme, and you will have to enrol with that one if you do not want to miss out on their contributions. Probably when you leave you can take this pension with you and add to it when freelancing ( you would need to check this), so probably at this stage not worth opening a separate pension.
Pensions and retirement | Help with pensions and retirement | MoneyHelper

inquisitive_bunting

Should I open a pension pot and deposit some money before I start this new job? And if so, which type of pension is best for someone in my position (freelance media professional, unsure when I will start my first permanent, full-time contract). 

There two basic types of pension;
Defined Benefit ( DB) sometimes referred to as 'Final Salary' . These are rare now in the private sector, and can not be opened by an individual.
So you are looking at the second type which are Defined Contribution schemes. These are really glorified saving/investment accounts where you slowly build up a pot of money. However by investing via a pension you can get tax relief on contributions. However you can not access the money until you are older.
DC pensions, come in different guises; SIPP; Personal pension; workplace pension; auto enrolment pension; robo pension etc .
Legally and tax wise they all work by the same DC pension rules. Differences are down to things like ; ease of use, charges, choice of investments etc
At  your stage I would not be so bothered about which one, although I would monitor how your money is invested in the pension.
You will probably find your new employer will have their own associated scheme, and you will have to enrol with that one if you do not want to miss out on their contributions. Probably when you leave you can take this pension with you and add to it when freelancing ( you would need to check this), so probably at this stage not worth opening a separate pension.

This is really helpful, thank you

Brie

You might have a look at what info is available online about the NEST pension.  It's the default pension for companies that don't want to do much work on pensions or small firms.  If you are going to be flitting from contract to contract this may well be where some of your money is placed - if you are going to get employer contributions.  It's not really well thought of but it does mean that if you work for 20 different employers over the next couple of decades at least the money is all going to the same place.  

But having contributions going in to NEST doesn't stop you from doing your own thing with pensions/investments.  

Good luck with your new contract!!

Sam_666

You new employer will have new joiners pension information pack. Read it.
Work pension means free money for very little effort.