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Have I got this right r/e HL SIPP pension
littlebw
Posts: 34 Forumite
Right here is my situation
Me - 53 disabled not getting ESA due to savings, getting DLA, getting a £100 a month pension from local government
Wife - 46 working as a teachers assistant, 30 hours, earning £11,400 a year, paying minimum into government pension
no dependable kids
Now ive been playing on the tax credits website and if we both pay £2880 into a private pension then we will be able to claim tax credits
I would be able to draw part of mine in 3 years whereas the wife in 9 years
Should i open each of us an hl account and open a sipp? which one as i would rather them choose what to do as long as it isnt high risk
was gonna open with with aviva but they have messed me about
Does all this make sense and am i doing the correct thing?
Many thanks for looking
Me - 53 disabled not getting ESA due to savings, getting DLA, getting a £100 a month pension from local government
Wife - 46 working as a teachers assistant, 30 hours, earning £11,400 a year, paying minimum into government pension
no dependable kids
Now ive been playing on the tax credits website and if we both pay £2880 into a private pension then we will be able to claim tax credits
I would be able to draw part of mine in 3 years whereas the wife in 9 years
Should i open each of us an hl account and open a sipp? which one as i would rather them choose what to do as long as it isnt high risk
was gonna open with with aviva but they have messed me about
Does all this make sense and am i doing the correct thing?
Many thanks for looking
0
Comments
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Have both you and your wife checked your state pension situation to help with planning?
https://www.gov.uk/check-state-pension
A Sipp is just a wrapper - you choose the investments.0 -
Have both you and your wife checked your state pension situation to help with planning?
https://www.gov.uk/check-state-pension
A Sipp is just a wrapper - you choose the investments.
yea we both will have full state pensions
where can i put our £2880 then?0 -
Wait and see what Vanguard offer?0
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Any recommendations please , i need to open 2 private pensions today0
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Why today ? It's not as if it's April 5th.
HL are perfectly good provider,their charges can be high but for low sums of money such as yours they can actually work out quite low.
if you want your money out in 3 years you could just keep yours as cash, you are still getting a 25% boost. For your wife what you invest in depends how risky you want to get, something like vanguard life strategy 40 might be a reasonable low to medium risk option.
There are other providers out there but HL are easy to deal with and you might decide the extra (say) £50 a year you'd pay them over some other bare bones supplier is worth the hassle free experience. Or you might not in which case there are comparison sites available for different providers showing costs at different levels of investment. I do recall that HL come out very good at sums under £20k or so, if that helps, others here no doubt will chip in as well.0 -
For a modest SIPP, HL's charges are not excessive.
Their web site is second to none.
Their administration is very efficient.0 -
Either Cavendish or Close Brothers will do exactly the same as HL do. But they will do it for not quite half the price. 0.25% versus 0.45%. With no account at HL, their website is fully and freely open and everything works. The only thing you cannot do without an account is to buy or sell investments. I'm sorry, but anyone who thinks that cutting the running costs of a SIPP investment by almost 50% for maybe 30 or more years, is not important, then I question why they feel competent enough to run a SIPP portfolio at all.For a modest SIPP, HL's charges are not excessive.
Their web site is second to none.
Their administration is very efficient.0 -
I'm sorry, but anyone who thinks that cutting the running costs of a SIPP investment by almost 50% for maybe 30 or more years,is not important
Did I (or any other poster) say this?0 -
Well, up there ^^^^^ you said -
If HL's 0.45% per year fee is not excessive, how do you describe Close Brothers or Cavendish charges which are almost half that amount? Do you think you are doing anyone a favour by suggesting they'd be OK at HL for the next 30 years, when they could reduce their SIPP annual running costs by nearly 50% for that period? And HL's website, good as it is, is entirely free for anyone to use with the exception of actually trading. Myself, I see no sense in using HL whatsoever.For a modest SIPP, HL's charges are not excessive.0 -
Well, up there ^^^^^ you said -
If HL's 0.45% per year fee is not excessive, how do you describe Close Brothers or Cavendish charges which are almost half that amount? Do you think you are doing anyone a favour by suggesting they'd be OK at HL for the next 30 years, when they could reduce their SIPP annual running costs by nearly 50% for that period? And HL's website, good as it is, is entirely free for anyone to use with the exception of actually trading. Myself, I see no sense in using HL whatsoever.
OP was going to put 2880 into his pension. So 0.45% of it would less than £14 a year. While cheapest competitor's fee would be about £7. Saving £7 a year is hardly much to write home about and to justify your outrage at someone confirming it would be a good choice in present circumstances.The word "dilemma" comes from Greek where "di" means two and "lemma" means premise. Refers usually to difficult choice between two undesirable options.
Often people seem to use this word mistakenly where "quandary" would fit better.0
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