UNISON works to defend good pension schemes and improve and promote affordable, decent pensions for all our members, wherever you work. You may also owe extra tax at the end of the tax year. Can you have more than one personal pension? It can be difficult to make the right decision without advice, even when you have all the information you need. Any pension money you have may affect your entitlement to benefits. Defined contribution: Your pension depends on the amount of money put into the scheme, how well the funds have been invested, the level of charges applied to your fund, and then how much pension your money will buy when you need to retire. These are both are good ways of making additional, tax-free, pension savings. It also explains the impact on your pension of a change in circumstances, for example, changing your job or a relationship breakdown. Read our UNISON briefing paper for more information on these “minimum” requirements, found under “All articles”. In certain circumstances, you may be able to take retirement from age 50 or over if you retire from employment or if you can no longer work because of a serious illness or disability. Your scheme may also offer an additional voluntary contribution scheme and you can also make additional pension contributions through a stakeholder or personal pension scheme. You might still see ‘occupational pensions’ mentioned as a broader term to describe older pensions that were offered in the workplace before the automatic enrolment regulations came in. Under current legislation, you can commence drawing retirement benefits from the age of 55 (or possibly earlier, if you're in ill-health);. Who can have a executive pension plan? However, you should check to see if your new employer offers a pension scheme. Stakeholder pensions are a type of personal pension which have to meet certain conditions. You can set up a stakeholder pension or a personal pension plan yourself and invest in it personally, or your employer may offer you access to a group personal pension scheme through your job and may also pay into it – this will usually be the case if they do not have an occupational scheme for you to join. By continuing to use our website you are consenting to their use. Final salary schemes. The Pensions Act 1990 provides for the regulation of occupational and private pension schemes, trust Retirement Annuity Contracts (RACs) and Personal Retirement Savings Accounts (PRSAs) and provides the statutory basis for the Pensions Authority (formerly known as the Pensions Board) and the Pensions … Most personal pensions are flexible and portable. If so, youre not alone In the past year, the issue of public sector pensions has received so much publicity that most people are aware that things are changing for the worse.Whats less well understood is how pensions work and the choices that members and public sector workers will soon have to make Thats why UNISON is continuing to campaign to protect our pensions and we need your help. Updating author: Kate Upcraft. Anyone up to the age of 75 can take out a PRSA and you don’t have … You should also be able to switch between funds, should you wish to although there may be a charge associated with this. You can help by becoming a UNISON branch. Occupational pension schemes; Personal pensions; Public service pensions; Occupational pension schemes usually involve both employee and employer contributions. If you aren't covered by these or if you are not an employee, you may be able to take out your own Personal Retirement Savings Account (PRSA) or Retirement Annuity Contract (RAC). Up to 25% of your accumulated fund can be withdrawn as a tax-free cash lump sum with the balance used to provide an income. It can be possible for the pension to be paid before 55 in the event of ill health. Personal pensions are individual contracts between you, the member, and the pension provider, There are overall limits to the total amount that can be contributed to all of your pension schemes each year if contributions are to receive tax relief. As long as you are aged between 22 and State Pension Age and pay income tax, your employer has to provide you with a pension scheme that satisfies minimum standards. You can take benefits from the Normal Retirement Age of the transferring Occupational Pension Scheme/ Personal Retirement Bond (this can be from age 60 to age 70). Currently you must have at least 35 qualifying years of national insurance contributions to qualify for the full new State Pension amount. You can contribute to more than one personal pension plan. 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