What is a personal pension?

A personal pension plan is a very tax-efficient investment designed to help you save money for your retirement. There are limits to how much you can invest each year, and over your lifetime, but these are more than sufficient for most people. You can access your money, some of it tax-free, from age 55. For many people, a pension is one of the best ways to save money for the future.

Personal Pensions

You won’t be able to keep working forever so planning for your retirement is essential. Personal pension plans are an ideal for this type of planning. They come with generous tax advantages when you put money in, and you can take up to 25% of the money tax-free when you take it out. Death benefits are also very flexible. There are a wide variety of providers and investments available. You can even take control of your investments personally. Most employees are now automatically enrolled into a workplace pension scheme, but you can still take out a personal pension, or consolidate older plans into a new contract.

Why use BBi Financial Planning?

Chartered

Our advisers have obtained the highest level of qualification in UK financial services

Experienced

With decades of experience between them our advisers have seen it all.

Technology

We use the best tools available to make sure our research is as good as it gets.

Compliant

We invest heavily in expert compliance support to ensure our staff and processes are always under scruitiny.

Connected

We have relationships with tax and legal experts to provide you with a holistic support network.

Available

A service agreement with us means you will be able to speak to your chartered adviser. You won’t be stranded with someone else.

Benefits of a personal pension plan

Pensions come with generous tax benefits.

Contributions attract tax-relief, so the tax you paid on your income is added to your personal contributions. You can take up to 25% of your fund tax-free when you retire.

Your pension fund can also be passed to your dependents (although a variety of tax rules may apply at this time depending on your circumstances)

Why choose BBi Financial Planning for personal pension advice?

Independent Advisers

We are proud of our independence.
It means no-one tells us what to do but you.
You can trust us to put your needs and goals first.

Chartered Professionals

We are a chartered firm and our advisers hold chartered status.
This puts us in the small elite number of firms in the UK, and means we uphold the highest standards.

Bespoke Cover

Our advisers will take the time to understand exactly what you need protected and why, and advise you on the most suitable options for your
budget.

Related Products

Workplace Pensions

If you have an employer you may already be in a Workplace Pension. If one is available but you have not yet joined or opted out, make sure you have considered the real costs – both for today and for tomorrow – of your decision.

Annuities

When it comes time to use your pension to provide an income how will you do it? What is important to you?

In exchange for a lump sum payment, annuities can offer an income guaranteed for the rest of your life.

Income Drawdown

Income Drawdown allows you to take your income when and how you want with no limits on how much you can take.

Your money stays invested which can bring with it investment risk but also the potential for further growth.

Click here for Workplace Pensions

Click here for Annuities

Click here for Income Drawdown

Is a personal pension right for you?

Extremely tax-efficient saving

All pensions provide tax-relief on contributions. This means the tax you would have paid on earned income is added back into your plan. If you pay £100 from your bank account, £125 is added to your pension. (based on current tax rates). Higher-rate taxpayers can claim the difference in their tax return.

More control

Many employers provide workplace pension plans, but these may provide limited options. A personal pension plan gives you the widest possible choice. (Note that employer contrbutions to a workplace pension are valuable, so be careful not to give these up without a good reason.)

Flexible access

Annuities used to be the only option when you retired. Now, you can take any or all of your benefits in the best way to suit you, so you can maximise your options and minimise the tax you pay.

What our clients say

“For the 1st time I was able to understand about my pension.”
Mr R
Kent

What are the benefits of a personal pension?

A personal pension plan provides the best combination of accesbility, price, flexibility, investment choice and tax benefits.

Tax-free cash

Take a lump sum from your plan tax-free

When you take the benefits from your plan, you are entitled to 25% of it tax-free. This is called the Pension Commencement Lump Sum, or PCLS. You can take this all in one go, or spread it out over time to minimise your income tax.

Flexible income

Access on your terms

When you retire, you can take your money in the way that suits you. It could be regular monthly income, or ad hoc payments whenever you need cash. Careful use of your PCLS can reduce your income tax too.

Long-term saving

Benefit from long-term compound returns

You can’t access your pension before age 55, which makes it an ideal way to invest for the long-term because you can’t be tempted to get at your savings early. So be careful when you invest in a pension. It’s important to save for tomorrow but you also have to pay for today.

Disclaimer

This page is for information and education and is not advice.

Our advice is always bespoke and in writing.

Any companies mentioned are for information only and are not a personal recommendation.