Is it too late to start a pension?

dunstonh

Just a note to make sure the op is a sole trader and not a limited company director (of their own company).     
How you optimally pay into a pension as a sole trader is different to how limited companies would do it.   

DietIrnBru

Rarely year zero when these questions are asked. What is your mortgage situation? Is the house paid off or do you have payments remaining? Renting? If fully paid off - housing costs are covered - aside from maintenance and upkeep of course. 

What is your NI contribution record? Have you optimised your payments there? Is there missing payments you can fill in? 

There are two earners in the house. Do you plan to fully retire when the time comes or maybe keep something going on the side? Many benefit from continuing to work part time - for the social aspect as well as the financial. 

If you wish to utilise the personal pension route - could you use this to reduce your tax bill by payments from a company? (particularly if you are a higher rate payer) Of course this is can be answered by an accountant or perhaps more knowledgeable persons on here. 

If you start a personal pension - then of course you dont have much time to benefit from market growth in equities - however - you would still get a 25% uplift from tax relief - nothing to stop you from investing in dull money market funds - yes the growth wont be stellar - but less volatility - Vanguard is worth a look as they offer good hands off products such as there Life strategy funds.