Personal and Stakeholder Pensions

If you are a higher rate taxpayer, you can claim additional relief through your PAYE coding. An Annual Allowance of up to £60,000 is available as well as the possibility of utilising potential carry forward of unused Annual Allowances.

A personal pension is an arrangement made in your name over which you have personal control. You can alter your contributions, suspend them, or stop them completely. Contributions are restricted to £10,000 under these plans where an individual has already flexibly accessed any income under another money purchase plan.

You will be eligible to take 25% of your accumulated fund tax-free when you retire, the earliest age being from 55. (Changing to age 57 in April 2028.) There are a range of options when you decide to take benefits such as purchasing an annuity or flexible drawdown.

Personal Pensions usually offer a range of investment mediums to suit your attitude to investment risk, and you can change your investment at any time.