Article Abstract:
Free-standing additional voluntary contributions are a way for employees in occupational pension schemes to add to their pensions, especially when they have missed contributions for a few years. They can also add to contributions where they have not contributed to maximum levels permitted by the Inland Revenue. They are inflexible, but this imposes discipline on savers. They tend to cost more than additional voluntary contributions, provided in-house.
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Article Abstract:
The key factor when choosing a pension fund manager is performance, though other factors such as charges are also important. Fund managers that are well known can win business more easily, and investment skills do not on their own attract business. Some companies offer passive fund management which allows them to charge low fees. Pension funds seek a performance that is better than average if they are to pay the higher fees of active managers.
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Article Abstract:
Most people do not save sufficient to retire in comfort, and this could be because they do not start to save early enough. Early savers benefit from compound growth. Top-up schemes are available for people who have not saved enough, and Unted Kingdom FSAVCs and AVCs offer tax relief, cutting the net contribution needed. In-house AVC schemes may offer better value and sales of FSAVCs have dropped following an investigation into ways that they have been sold.
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