what pension is best

glennb85

is there any pensions out there that is better than a stake holder

dunstonh

Yes there are.

However, it depends on what you are looking for and what you class as feature that are important to you.

Fund ranges on stakeholders are generally quite naff. Personal pensions offer a better range. A SIPP could be better if you want a more hands on approach to investment selection.

A few stakeholders are still quite good though under the right circumstances. Friends Provident, just as an example, have a good range of low risk funds and their waiver of contribution terms are very good. However, their personal pension has the same stakeholder funds available on the same charges but also another 40 or so investment funds so there is often little point doing the stakeholder.

glennb85

Oh my god how lost am i now
i just bascally want to knwo which one u can put the smallest amounth in each month and get a large amount out at the end
im 23 now 24 this year and my job dodesnt have a pension so i gotta start saving
But thansk for the above ones i get my head around it im sure its good advice

DavidLaGuardia

Dunstonh is right glenn. You may as well ask "how long is a piece of string?"

Going on what you said, you don't need bells and whistles and there are stakeholders out there that offer genuinely good funds. You may as well stick to these until such a point you want or can be offered more.

From next April, you can invest in a huge amount of things from antique tea sets to residential property in a personal pension but in order to have such options you need to have built up a fund first.

Take a long term view (you are only 23) with managed funds based on equities with a property fund for some diversity. Find an IFA willing to advise you on this.

You should put in what you can afford as the more you do now the better but if you want some flexibility and access, you could always split savings between ISAs and Stakeholder. You could then always put the isa into a pension later on.

Think of this, who will have the most assuming 6%p.a. net return and taking benefits at age 60?
1. a 25 year old who saves £100 a month for just seven years and stops?
2. a 32 year old who saves £100 a month for 28 years?
Answer: They will both have nearly the same amount

EdInvestor

Hello Glenn

glennb85 wrote:

Oh my god how lost am i now
i just bascally want to knwo which one u can put the smallest amounth in each month and get a large amount out at the end
im 23 now 24 this year and my job dodesnt have a pension so i gotta start saving.But thansk for the above ones i get my head around it im sure its good advice

If you are a basic rate taxpayer, you may be better to save in an ISA for the time being if you have no employer's contribution. Have you thought about buying a home later on? For someone your age, saving up for a deposit is probably a more sensible aim for the moment than locking up money in a pension which you can't get at until you are 55.

dunstonh

If you are a basic rate taxpayer, you may be better to save in an ISA for the time being if you have no employer's contribution

A pension may also be better as the younger you are, the better the pension is over the ISA.