Pensions offer not only tax-free growth but also tax relief on contributions, and can really boost your saving efforts.
“The start of the year is a great time to review your finances and make sure you’re getting the most from your money,” says Laura Newman, Head of Private Clients – Advice at NatWest. “With new pensions freedom and the added benefits of tax relief on your contributions, what better way is there to start re-assessing your financial fitness than with your retirement planning? Of course, pension rules and jargon can be bewildering even for those who are financially sophisticated, so it makes sense now to focus on your own priorities, review your current strategy and where needed, speak to an expert.”
Some people have a number of pension schemes, and it is important to keep track of them all. Michelle Cracknell, chief executive of the Pensions Advisory Service, adds: “Whether it is a pension that you set up or a workplace scheme, do not lose sight of it when you move jobs or house. If you think you may have lost a pension, the Pensions Advisory Service has a useful Lost Pension tool.