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  • FIRST POST
    • Newlyboughthouse
    • By Newlyboughthouse 12th Aug 18, 1:46 PM
    • 302Posts
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    Newlyboughthouse
    So confused - 3 pensions on the go at 31
    • #1
    • 12th Aug 18, 1:46 PM
    So confused - 3 pensions on the go at 31 12th Aug 18 at 1:46 PM
    I have changed jobs three times in the past 3 years - and as a result I have funds in 3 different pension pots. Looking through all the documentation, I have no idea which pension pot I should consolidate the three into?

    I spoke to a financial advisor and he said he wouldn't look at a pension under the value of £50k, which mine is nowhere near. Plus if he did look, he would charge a huge fee for it.

    I just want to consolidate for good housekeeping! Any pointers? What do I look out for in the documentation to make an informed decision?
Page 1
    • Linton
    • By Linton 12th Aug 18, 2:01 PM
    • 9,560 Posts
    • 9,765 Thanks
    Linton
    • #2
    • 12th Aug 18, 2:01 PM
    • #2
    • 12th Aug 18, 2:01 PM
    Your best bet, all other things being equal, is probably to consolidate them into your current employers pot. They are more likely to want to help an existing employee and manage the whole process whereas there would be no benefit for an ex-employer.


    However all other things may not be equal - mainly costs and choice of investment funds. If any of the pensions are old there may be special guarantees or beneficial conditions which would be lost if you transferred.



    There is no major reason why you shouldnt have multiple pension pots.
    • tacpot12
    • By tacpot12 12th Aug 18, 2:38 PM
    • 1,273 Posts
    • 1,096 Thanks
    tacpot12
    • #3
    • 12th Aug 18, 2:38 PM
    • #3
    • 12th Aug 18, 2:38 PM
    You could also consider starting you own pension and consolidating the pensions that are not receiving employer contribution into this pension. You can then keep moving the funds built up in employer schemes into your own pension each time you change jobs.
    • kidmugsy
    • By kidmugsy 12th Aug 18, 2:56 PM
    • 11,343 Posts
    • 7,877 Thanks
    kidmugsy
    • #4
    • 12th Aug 18, 2:56 PM
    • #4
    • 12th Aug 18, 2:56 PM
    Remember that there is no hurry - or indeed necessity. Keep each up to date on your address and marital status, and then take your time.
    Free the dunston one next time too.
    • dunstonh
    • By dunstonh 12th Aug 18, 3:26 PM
    • 93,873 Posts
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    dunstonh
    • #5
    • 12th Aug 18, 3:26 PM
    • #5
    • 12th Aug 18, 3:26 PM
    I spoke to a financial advisor and he said he wouldn't look at a pension under the value of £50k, which mine is nowhere near. Plus if he did look, he would charge a huge fee for it.
    But the fee may be cheaper than the fees you are already paying.
    I am an Independent Financial Adviser (IFA). Comments are for discussion purposes only. They are not financial advice. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
    • Newlyboughthouse
    • By Newlyboughthouse 12th Aug 18, 4:20 PM
    • 302 Posts
    • 414 Thanks
    Newlyboughthouse
    • #6
    • 12th Aug 18, 4:20 PM
    • #6
    • 12th Aug 18, 4:20 PM
    But the fee may be cheaper than the fees you are already paying.
    Originally posted by dunstonh
    This is how dense I am on pensions - I didn't realise you paid a fee to have a pension it is all oh so confusing
    • dunstonh
    • By dunstonh 12th Aug 18, 5:17 PM
    • 93,873 Posts
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    dunstonh
    • #7
    • 12th Aug 18, 5:17 PM
    • #7
    • 12th Aug 18, 5:17 PM
    This is how dense I am on pensions - I didn't realise you paid a fee to have a pension it is all oh so confusing
    Originally posted by Newlyboughthouse
    Everything has fees. Nothing is free. The difference is how transparent the fees are.

    Investments have charges that are disclosed explicitly. The most common charge is the annual management charge.

    In 2001, the most common annual management charge was 1%. Today, you get half a third of that. Charges are not the primary driver but a secondary one. e.g. is it better to get 6% p.a. after charges of 1% or 4% p.a. after charges of 0.4%.
    I am an Independent Financial Adviser (IFA). Comments are for discussion purposes only. They are not financial advice. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
    • FIRSTTIMER
    • By FIRSTTIMER 12th Aug 18, 5:24 PM
    • 359 Posts
    • 61 Thanks
    FIRSTTIMER
    • #8
    • 12th Aug 18, 5:24 PM
    • #8
    • 12th Aug 18, 5:24 PM
    This post highlights the exact problem now faced after government ruling. Pension transfers over 30k IFA is needed to approve. So now, no one wants to pay thousands (which comes out the pension transfer value) to pay for an IFA. If the pension value is circa 50-75k. Itís a waste of money in my opinion. Resulting in things like this. People with loads of small pensions who end up with them never reviewed. Annoying. But hey, if youíre rich - pay the fees and get richer.
    • wjr4
    • By wjr4 12th Aug 18, 5:35 PM
    • 406 Posts
    • 258 Thanks
    wjr4
    • #9
    • 12th Aug 18, 5:35 PM
    • #9
    • 12th Aug 18, 5:35 PM
    This post highlights the exact problem now faced after government ruling. Pension transfers over 30k IFA is needed to approve. So now, no one wants to pay thousands (which comes out the pension transfer value) to pay for an IFA. If the pension value is circa 50-75k. Itís a waste of money in my opinion. Resulting in things like this. People with loads of small pensions who end up with them never reviewed. Annoying. But hey, if youíre rich - pay the fees and get richer.
    Originally posted by FIRSTTIMER
    Defined Benefit transfers over £30k need advice, personal pensions do not. Two completely different things.
    I am an Independent Financial Adviser (IFA). Any posts on here are for information and discussion purposes only and should not be seen as financial advice.
    • FatherAbraham
    • By FatherAbraham 12th Aug 18, 5:47 PM
    • 788 Posts
    • 604 Thanks
    FatherAbraham
    I have changed jobs three times in the past 3 years - and as a result I have funds in 3 different pension pots. Looking through all the documentation, I have no idea which pension pot I should consolidate the three into?

    I spoke to a financial advisor and he said he wouldn't look at a pension under the value of £50k, which mine is nowhere near. Plus if he did look, he would charge a huge fee for it.

    I just want to consolidate for good housekeeping! Any pointers? What do I look out for in the documentation to make an informed decision?
    Originally posted by Newlyboughthouse
    When you started each pension, you should have been sent a post-sale illustration, or a key features document. These can tell you what the charges and costs of the pension arrangement are, for comparison purposes.
    Last edited by FatherAbraham; 13-08-2018 at 12:06 PM.
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