Secrets of UK Pension Millionaires #3 | Get free money from your employer
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- เผยแพร่เมื่อ 5 เม.ย. 2021
- #SHORTS
www.pensionsadvisoryservice.o...
Email Template to HR
Hi,
Please can you let me know, or put me in touch with some who does know, what pension benefits I’m entitled to.
Specifically, I would like to know:
- What benefits I am entitled to
- Am I enrolled
- How much am I contributing
- How much are you, as my employer, contributing
- Do you offer pension contribution matching
- Who is the provider of my pensions and how can I get access to check it
- Is this a salary sacrifice scheme
If I am enrolled in a salary sacrifice scheme and I decide to make additional voluntary contributions, the company will save National Insurance tax on the amount I choose to contribute. Please can this tax-saving be paid into my pension? There is should be no cost to the company in doing this.
Kind regards,
[Insert Your Name]
I used to work for a company that payed a maximum 3% match to my 5% pension (8% total), but now I'm working at a place that does 9% match to my 6% payment for a total of 15%. Much better! Now, if I could only max out my ISA...
3% match to my 5% pension (8% total) - yes that's the minimum employers can contribute now. Yer 15% pension contributions is the sweet spot according to various studies.
Hi James, thanks so much for making these videos. I'm finding them really useful when sorting out my finances. If you are trying to think up subjects for a video I'd love a comparison of overpaying on a mortgage vs investing in an index fund
Current employer offers a pension through NEST no saka ray sacrifice option, no increased matched payments etc. on top of which NEST have higher charges, luckily this is only for a few years and when I retire it will be transferred into my main DC pension fund where I make extra payments into. It will only be worth about £8 k if that when I retire.
Couldn’t find the email template … please can you share them?
In the description
James do you have any idea what employee share scheme there’s not much content on this subject
My employer matches up to 10%, and I’m actually putting in 30% to make a total of 40% - which is nice. I’ve also emailed them about the additional savings. It’s a faceless global corporation so I’m not confident, but we’ll see…
Loving the short videos James, keep them coming! What happens to old pensions from jobs you've left?
Cheers Bobby!
Hi Bobby you can transfer them over the current one
Where is that email template
In the description
Is it my current understanding that is this how the NHS pension works? I am a bit confused if it is indeed a good pension, since I contribute so much to it every month 🤨
that ok if they pay pension contributions! other banks do not!
Working at Atos who match up to 10%👍
Hi James, I have a DB pension, I have just hit 40 and have been paying in since 2004. They changed the scheme so small pot I can claim from 60, the main pot retirement age is currently 68. I am hoping to retire at 60 so not sure if I should be paying in ‘added pension’ or voluntary contribution scheme to make up the short fall for last 8years I’ll be missing? The information doesn’t make any mention of employer adding extra so I think cos it’s DB the extra is only me?
Do you know what the estimated income on retirement for each part is likely to be? You'll need to know this to work out if there is going too be a shortfall. 68 sounds very late for a DB pension!
@@JamesShack yeah they changed the scheme, originally could take early retire at 50 and full pension from 60. Not no more.
If I retire at 68 projected annual pension is £26,080 (no lump sum taken).
Reduces by about £10k annually if taken at 60.
I should properly book a paid appointment in really.
My company won't contribute extra for salary sacrifice... guess they just pocket the savings for themselves
They may not Match the contribution, like the 7% + 7% example. But they should give you some of that tax saving if you choose to contribute more. Definitely ask them about this.
@@JamesShack I just save on tax and NI because my take home pay is less. But nothing additional to that.
I worked for a company that would match to 8% plus add the NI savings into your payment. They were bought out by another big American company, the match was then limited to 7% plus the NI savings were not passed in. Both allowed salary sacrifice to whatever amount you wanted, when we were bought out you could alter the SS amount ( managed online) as long as it was done before 2nd if the month. Good if you knew a bonus was coming.
@@JamesShack I've asked my employer to contribute some of their NIC savings due to me using Salary Sacrifice for my workplace pension. Unfortunately I was told they would not because "it's not common practice for companies to share the savings and as it would require process changes" for the employer. Can you share any info regarding how common this is for employers to contribute some/all of NIC savings, and any suggests for how to mitigate "process changes" which I take to be costs? Note this workplace pension is with Scottish Widows. Thanks in advance.
hmrc do not give free money