Benefits of pension consolidation

As times have changed, so have values in terms of company loyalty. This isn’t necessarily a bad thing, with many people to choosing to change jobs every couple of years in order to try new things and develop more skills it’s likely they may have more than one pension. Pensions like this are easily set up by employers and could have a reasonable amount of money invested, and if you’ve worked numerous jobs its quite likely you’ll have numerous small pots.

This is where pension consolidation comes into the mix, bringing these pensions together could help someone reduce their overall charges, help them manage their risk and make it far easier to keep track of their plans. All these also can impact the potential for plan growth.

By reviewing your pension and investments a qualified pension adviser will be able to show you which plans are worth leaving in place and which plans would be best consolidated. That’s right, it may not always be worth consolidation of all plans as some can have guarantees. Conversely should it be beneficial a qualified adviser can show you how and why it would benefit having everything in one place.

You can get the benefits of increased potential growth by having an increased fund size. Any contributions can help grow your pots but having one simple to manage pension make it easier to see growth as well as allowing someone as well as an adviser to get a full understanding of your retirement options which can allow you to feel more in control.

A word from Which – Which says;

“If you’ve accumulated numerous workplace pensions over the years from different employers, it can be difficult to keep track of how they are performing. There is a danger that long-forgotten plans will end up festering in expensive, poorly performing funds, and the paperwork alone can be enough to put you off becoming more proactive.”