Retirement should be the time to enjoy life to the full. To ensure this can materialise however you must plan ahead and have adequate finances in place to fund your lifestyle. There are a wide range of pension options available and Sentinel’s knowledge and experience can help you put in place the most rewarding and appropriate retirement solution for you. You have worked hard all your life and so it is only right that your retirement plans should work as hard as possible for you.
Whether you are looking to start your first pension, transfer an existing plan from one provider to another or are about to retire and want to explore what annuity and income options are available - Sentinel can offer you comprehensive retirement planning advice. As well as arranging new pension plans for our clients, we can assess your current arrangements, recommend improvements and advise you on ways of making your existing plans more rewarding. It may be the case that the underlying investments within your existing pension are under performing or that you are not benefiting from all the relevant tax-reliefs and allowances that are available to you.
Some of the most popular solutions include:
A personal pension is a long-term investment that aims to help you build up a pot of money that you can use when you retire. It is a tax-efficient way for you to save for your retirement because HMRC will add tax-relief to the payments that you make into your plan. You can invest money regularly - usually on a monthly basis - as well as making one-off contributions. Your chosen pension provider will invest your money in the limited range of investment funds that they offer, with the aim of growing your pension pot.
Traditional personal pensions offer little choice with regards to where contributions are invested. Self Invested Pension Plans (SIPPS) however have a much more flexible approach. There is much greater freedom and individuals can invest directly in a huge range of assets - such as property, shares, bonds and investment funds from the wider market. You have complete control and can manage and amend your portfolio whenever you want. SIPPs are therefore well suited to individuals with a good understanding of investments.
Your retirement income is typically arranged through an ‘annuity’ - a guaranteed annual income for the rest of your life that can be purchased with your pension pot. The standard annuity offered by your pension provider is unlikely to be the most competitive option within the market. Annuities are available from a number of different providers, all of which have different features and rates. It is therefore sensible to consider your options in order to source the highest level of income that is available to you.
Drawdown Pensions (previously known as Income Drawdown or Unsecured Pensions) are an alternative to purchasing an annuity. They allow you to receive income from your pension fund while the fund remains invested and continues to benefit from any fund growth. Different types of Drawdown Pension are available, all with different features. All Drawdown Pensions however rely on sound investment advice to ensure that your income is sustainable.
Other options include Phased Retirement Plans, Enhanced Annuities and Fixed Term Annuities amongst others.