Whatever stage in your life you have come to it is vitally important for you to get expert professional advice on your pension plans and requirements in later life.
Here are the basic information relating to the pensions and retirements. It is important to know where you stand with your pension plan and fully understand what it entails. A pension plan is a retirement plan which is normally tax exempt, where your employer makes a contribution into a pool of funds which is kept away for your future benefit. These funds is then invested on your behalf, which will let you receive benefits from this pool of funds once you have retired.
Maximising your pension fund
With the shifting landscape of pensions makes pension planning even more important. Pensions are highly efficient and effective and allow yourself tax relief at your highest rate.
When you are nearing retirement your income from your employment can be substituted by the income from your pension.
This can be done by using the pension to obtain an annuity from a recommended annuity provider. This will allow you to ensure your future income for the rest of your life, for however long you live for.
There is a second way of planning for your future which is the drawdown which allows you to take an income from your retirement fund instead of purchasing annuity. This is a far riskier system and we recommend that you seek specialist advice because the level of income cannot be guarantee and there is a possibility that you may have to reduce the drawndown income further down the road.
Plan your retirement today!
If you are seriously considering planning for your retirement but don’t know where to begin then please do not hesitate to get in touch with us at Prudent FPA. We are happy to help with any enquiries you may have about retirement planning or any other financial concerns you may have, our experienced team can guide you through the process.