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Pensions are in the news every day, State Pensions, Stakeholder Pensions, Self Investment Personal Pensions (SIPP), scheme wind-up. Lexington Wealth Management can offer you an experienced, knowledgable opinion on all your pension and retirement needs.
Pensions
Pensions are probably the most complex part of the financial planning process, there are numerous types which are covered by many different sets of rules. Whether you want to discuss the State Basic Pension, Stakeholder Pension a SIPP or your current Pension Scheme, Lexington Wealth Management is experienced and qualified to discuss this with you.
How do Pensions work?
In simple terms, contributions are paid in, tax relief on these contributions is given and a pension fund is built up. A portion of the pension fund can be taken from the retirement age, Tax Free and any remaining balance of the fund is used to provide an income for the pensioner.
This is a huge simplification of a pension, but in essence this is how a pension works, they are designed to provide you with an income in your retirement years.
Pension Transfers
Many clients come to Lexington with older style pensions, where the charges are high and the range of funds is restricted or for some other reason the client is not happy with the current pension provider. In most cases it is possible to move the pension from the current provider to a new provider, this is called a Pension Transfer or Pension Switch. This is a straight forward process, but exception duedilligence needs to be carried out before the Pension Transfer takes place because of the risks involved.
Lexington is happy to advise clients whether a Pension Transfer would be suitable to them based on there indivudal needs and circumstances.
SIPP - Self Invested Personal Pensions
The news reports a lot of information about SIPPs. A SIPP can be a good option for some clients, but for many, there are other cost efficient Pensions available and SIPPs in the main can be expensive.
State Pension Forecast
The Government State Pension is a complex area in its own right and the rules surrounding it have changed a number of times since many of our clients started working. For this reason, we recommend that clients obtain, with our help a State Pension forecast. A State Pension forecast can be obtained over the telephone on 0845 3000 168, by completing a BR19 or from the Department for Work and Pensions by clicking here. (By clicking this link you will leave Lexington Wealth Management Ltd website and enter into a third party website. Lexington Wealth Management Ltd are not responsible for the content of this third party website.)
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