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Pensions- Where to start?

4 replies

Gillbillz · 27/04/2018 22:30

Hello I've been running a limited company for the last couple of years with myself as the only employee. I'm thinking I ought to start looking into pensions. At the moment I don't know where to start or if it's worth it (wouldn't I end up paying twice as an employee and employer or doesn't it necessarily work like that?)
Thanks for any help or advice

OP posts:
delilahbucket · 12/05/2018 22:09

You can take out a private pension. I have mine with Virgin Money. It is usually best to seek professional advice before getting one.

Hoppinggreen · 19/05/2018 20:51

You can take out a Private pension and make employer contributions, that’s what we do.
If you have an accountant they should be able to confirm you can do this

QueenDoris · 20/05/2018 22:43

Open a SIPP and pay contributions directly from the limited company. It is tax free, so you don't pay any corporation tax or personal tax as long as contributions are less than £40k per year

Imchlibob · 20/05/2018 22:55

Opening a private pension is quite easy. You can contribute either as employer or employee but make sure the pensions company is clear which - if a contribution is classed as from the employee they will reclaim tax back from hmrc so if contributing from pre-tax funds it needs to be classed as an employer contribution.

If you are going to be actively managing your investments, reading up on financial news and chopping and changing where your investments go as markets rise and fall then get a SIPP.

You pay extra fees for the flexibility of a SIPP so if you just want to pick a combo of managed or passive funds and let those manage your money then do not pay the extra for the SIPP, get an ordinary private pension.

All the big pensions companies have a PP option. tbh there isn't much to choose between them. There is no way to predict which will perform best over the next 30 years, so just pick one.

They will be required by law to get you to declare that you are comfortable that you don't need financial advice. That's fine.

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