Most people have many different jobs over their lifetime and as a result they often have several separated pensions.
Keeping your pensions all in one place is a good idea although it does mean you have to transfer them. But it really is worth it and here’s why…
Firstly, you can move your retirement savings from a relatively high-charging pension to a lower-charging pension. I have covered this topic many times but it makes sense to keep as much of your money as possible as the growth potential is far higher – benefiting you.
Having multiple pensions means paying for extra trustee, custodian and management fees. By consolidating to just one pension fund means consolidating to just one set of fees.
Keeping it together
Furthermore, having different pension pots with different charges is hard to keep track of making it difficult to know what is and isn’t working.
Keeping investments together means it’s much easier to keep an eye on things – how your assets are performing and whether it’s meeting your retirement goals or not. Aggregating pensions can save on costs and enables a cohesive strategy that gives you the ability to take an active interest in where your money is invested.
Investing in your retirement is vital and you can take the hassle out of managing different pots by switching to one central pension.
This will also enable you to see, at a glance, where the pot is held and how much money is in it at any given time, so you can take control of your pension savings and decide what is the right thing to do.
Find and combine
Often people can forget about or lose UK pension details. In fact the Pension Policy Institute estimates the amount missing in lost UK pensions at around £20 billion.
However, there is help out there in the shape of The Pension Advisory Service (TPAS) who will help find your pension for free and the UK Government website which can also track down pension information. You will need your National Insurance number handy however to use these services.
If you have several pension pots you want to combine then Brite can help you with our hassle-free transfer service. Simply get in touch and we’ll do the rest.