Pension Guidance and Retirement Planning

What Does Pension Guidance and Retirement Planning Involve?

Your pension will play a major role in funding your retirement. It’s important, therefore, to assess the return it will give you before you need it. There are a number of things our financial advisors consider when providing pension guidance:

• Are you paying enough into your pension to fund your retirement?
• Could you achieve a better return by transferring your pension?
• Are you investing in the right funds?
• How much tax will you pay on you pension, and can this be adjusted?
• Should you combine your pensions?

The way you manage your pension has a good deal to do with the kind of retirement you wish to plan for. Maybe you want to retire in stages, and it would be helpful to have a top-up income from your pension. Alternatively, you may be planning a complete change in lifestyle and will need a lump sum from your function to make it happen.

Once we know what plans you have for your retirement, Harpur Wealth advisors can work with you to ensure your pension does some of the heavy financial lifting. We always recommend that people start thinking about pensions and retirement in the early stages of their careers, as money invested for long-term growth can open up a range of options in later life.

Key Questions That Underpin Pension Guidance

There are any number of reasons why you may seek pension guidance, but the 3 questions we most regularly get asked by our clients are:

1. When Will I Be Able To Retire?

This is a question many people are scared to ask in case all their retirement plans go up in smoke. At Harpur Wealth we take a different approach. Once we know what pensions you currently have, what kind of pensions they are, and how they’re invested, we can start to work on making them fit for the retirement you envisage (if they don’t already).

It may be the case that you need to pay in more to your pension in order to achieve the retirement you want, or put off retiring for a few more years. Either way, you will have a clear plan and certainty regarding where it leads.

2. How Can I Avoid Paying Too Much Tax On My Pension?

Pensions are an excellent long-term financial strategy because of the pension tax relief that applies to them, which boosts your savings. Harpur Wealth financial advisors ensure that clients are claiming the full tax relief they’re entitled to. For high earners with extensive pension savings, we’ll check that they are not exceeding the maximum allowance, which would entail a large tax bill.

3. Is My Pension Offering Value for Money?

Every pension scheme charges investors a management charge, however the cost of that charge can differ greatly from one pension provider to another. We can offer guidance on the AMC (Annual Management Charge) you’re paying, and if there is an alternative pension scheme, offering the same benefits but at a lower cost, you may wish to change.