Pension checklist for changing job
By Kirsten Hastings, 12 Jun 18
It can be easy to forget about pension benefits when you are swept up in the excitement and stress of changing job. But as workplace pensions can be very generous, it pays to keep on top of any pots that have been built up, says Fidelity International’s Ed Monk.
“Consolidating your pension pots into one place makes it far easier to keep tabs on the size of your savings and how they are invested,” Monk recommends. “This can be done by bringing pensions from previous employers into a self-invested personal pension (Sipp) that you set up, or perhaps into your current work scheme.
“While you can bring various pension pots together at any time, making it part of the job change process means you reduce the chance that you leave your pension languishing in a scheme unsuited for your needs.
“Whether consolidating will work for you, and where you should do it, depends on a combination of factors, including investment costs, exit fees, the benefits of schemes and the value you place on the ease of having all your pots in one place, so it’s worth doing a bit of homework before making the decision.”
Tags: Fidelity | Lifetime Allowance | MPAA | Pension
