Three types of retirement payment in the UK: everything you need to know

Have you thought about retirement? Probably every Monday you dream about the time when you can lie in bed a couple of extra hours, without worrying about anything. But are you ready for this great day, after which you will be completely free?

For some, retirement is a distant future, and for others - a constant struggle for survival, because there is a catastrophically shortage of money. It is necessary to think about a pension from a financial point of view. Here are the main facts.

Pension: what you need to know

There are three main types of pension:

state pension (paid by the government);

non-state, or labor, pension (payments to an employee who retired from the pension fund of the employing organization, formed from deductions according to the pension scheme);

personal, or private, pension (the name speaks for itself).

Labor pensions are of two kinds. Unfortunately, a pension plan with fixed payments (a pension plan for which participants are guaranteed a fixed payment in absolute terms or a share of the average salary for a certain number of years, and contributions are made by employers and sometimes by the employees themselves) is gradually becoming obsolete. The majority has a pension plan with fixed contributions (a pension program in which workers and employers transfer fixed contributions to the pension fund, and the amount of payments to the employee depends on the amount actually transferred to the fund and the income received from investing these funds by the pension fund).

Some people prefer to combine their previous labor pension plans into one or to transfer money to a personal or private pension. If you do that, you are doing the right thing.

Having applied to the management company, ask to explain everything to you as simple as possible and in writing. Ask what commission the company will take. And do not be afraid to admit that you do not understand something.

If you need more information or want to complain, contact Resolver using the form at The Pension Advisory Service (TPAS) offers an excellent website with a wealth of information. If you are approaching retirement age and want to know what options you can expect, contact Pension Wise.

And most importantly, if you have not accumulated enough funds to retire, do not be afraid to say it and get help.

read other news here

types_retirement payment UK pension_plan
If you notice an error, highlight the text you want and press Ctrl + Enter to report it to the editor
2 views in september
I recommend
No recommendations yet


Comments are designed to communicate and discuss the features of an enterprise or event, as well as to find out the interesting questions on it.

Homeowners whose properties were devastated by the Christmas flooding of 2013 may feel a little safer at the news their town is set for a new £15 million barrier thanks to the latest round of funding. Flood defences for Tonbridge and the surrounding area are to be improved following a decision to award more than £2 million of government cash. It will go towards improvements to the Leigh Flood Storage area and local embankments in the Hildenborough area. Th...
The Government is to crack down on people smugglers advertising their services to people in developing countries via Facebook in a bid to stem the flow of undocumented migrants to the UK at its source. The UK has identified 539 social media pages – the vast majority on Facebook – which it says are used by people illegally offering others transit to Europe - writes “We must now match our pursuit of people smugglers and traffickers with a r...
A schoolboy died from the effects of a suspected allergic reaction after allegedly being chased and having cheese thrown down his T-shirt, an inquest heard today. Karanbir Cheema, 13, was “gasping for air” when emergency crews arrived at William Perkin CofE High School in Greenford . Kieran Oppatt, the first paramedic to arrive at the scene on June 28 last year, today told St Pancras coroner’s court that the unconscious teenager’s condition deteriorated dr...
Around 120 people were affected by a flood in West Drayton when a burst water main filled a residential street. The road, Falling Lane, was covered in a metre of water in an incident which prompted six fire engines and 40 firefighters into action on Sunday. Some 80 properties were impacted, some of which were evacuated . In an update, a spokesperson for the London Fire Brigade , which was called at 8.39pm, said: “Firefighters used sand bags and pumped wate...
Council sidestepped a loaded decision about ending city hall regulation of the number of taxi licences in London, punting the controversial proposal back to staff on Tuesday night. The direction to city staff? Talk to the taxi industry. Again. It’s the latest chapter in the never-ending saga over London’s bylaw governing taxis, limousines and private ride-hailing companies like Uber. VEHICLE FOR HIRE BYLAW Staff will bring a bylaw back to the community and...
A dog owner claims her pet was kicked to death by a teenager in a “disgusting” attack at an east London park. Pomeranian puppy Scout was set upon by thugs while being walked in Raphael Park in Romford , owner Samantha Winfield said - writes She has launched a Facebook campaign to track down the culprit and police are investigating the incident, which happened at about 3pm on Sunday. “My partner walked my two Pomeranian puppies in Raphael Par...
A teenage girl was raped in broad daylight in an east London park, police have said. The Met's child abuse and sexual offences command is investigating the attack, which happened in West Ham Park on Tuesday. The female victim was attacked by a man close to the entrance opposite FairlandRoad, Scotland Yard said. It happened at about 4pm. No arrests have yet been made. West Ham Park, which dates back to the 16th century,is run by the City of London Corporati...
Armed police would have needed “luck” to be in the right place to tackle an intruder at Parliament, the Westminster terror attack inquest heard today. Khalid Masood, 52, rushed into the Parliamentary grounds and stabbed Pc Keith Palmer to death having mown down and killed four pedestrians with his car on Westminster Bridge. The inquest has heard armed police patrolling Parliament had been in-structed to prioritise the safety of ministers and MPs over polic...
A car thief who was filmed deliberately driving at a group of cyclists has admitted a string of offences. Shane Seymour, 25, of Southwark, south London, drove at the cyclists on Clapham Road, Clapham, during the morning rush hour of 1 August. Footage on social media showed a black Audi with fake number plates repeatedly accelerating towards the cyclists. Seymour pleaded guilty to the theft of a car, driving while disqualified and dangerous driving. He appe...