Pension

Personal Tax Planning: 

Anderton's clients also number many individuals for whom we provide guidance and advice on dealing with all aspects of personal tax matters, as well as assisting with personal investment planning and pensions and insurance of all kinds.

Regardless of the complexity of your personal finances, Anderton's range of services is both comprehensive and flexible, saving you time for other things and removing the worry from your mind.

Pensions:

When planning your retirement there are three main types of pension you need to consider. These are State Pensions, personal pensions and company pensions. Find out about these different types of pensions and how they affect you.

State Pension:
State Pension is paid to those who are eligible, over State Pension age and who have claimed it. You may be eligible for the following types of State 

Pension:

·basic State Pension 

·additional State Pension

Basic State Pension - what is it?

Anyone who has enough qualifying years from his or her National Insurance (NI) contributions record is entitled to some basic State Pension. Find out more about qualifying for basic State Pension and how much you can get. Alternatively, use the State Pension profiler to estimate how much basic State Pension you may have built up and when you can claim it.

Additional State Pension:
An additional State Pension can give you extra money on top of your basic State Pension. It is also sometimes called the State Second Pension (it used to be called the State Earnings Related Pension Scheme (SERPS)). You may be entitled to additional State Pension if you are employed, looking after a child or caring for someone.

Pension Credit:
If you are on a low income in retirement. In certain circumstances, you may be able to get Pension Credit. Pension Credit is an income-related benefit made up of two components: Guarantee Credit and Savings Credit.

Guarantee Credit:
Guarantee Credit works by topping up your weekly income. You may receive more Guarantee Credit if, for example, you are severely disabled, a carer or have housing costs such as a mortgage. To apply for Guarantee Credit - you must have reached the minimum Pension Credit qualifying age.

Savings Credit:
Savings Credit can provide extra money for those pensioners aged 65 or over who have made some provisions towards their retirement. You may be able to get Savings Credit as well as Guarantee Credit. Find out if you are eligible for Pension Credit, can get a Pension Credit estimate or can apply for Pension Credit.

State Pension and Pension Credit rates:
How much State Pension or Pension Credit you can get depends on your circumstances.

Personal pensions:
Personal pensions are available from banks, building societies, and life insurance companies who will invest your savings on your behalf.

You can save as much as you want into a personal pension. You will get tax relief on the amount you put in up to the annual allowance. Read 'Tax and your personal pension' for further information on tax relief.

Stakeholder pensions:
Stakeholder pensions are a type of personal pension that have to meet certain legal standards, which are designed to make sure they are good value.

Find out more about these standards and whether a stakeholder pension may be appropriate for you in 'Stakeholder pensions'.

Company pensions:
Company pensions are set up by employers to provide pensions for their employees on retirement. They are also sometimes called occupational or workplace pensions.
 
Rules vary for different company pensions but money can be paid into the pension from:

·both your salary and your employer 

·your salary only 

·your employer only

You will get tax relief on the amount you put in up to the annual allowance.

Find out more about the different types of company pensions in 'Understanding company pensions'.

From 2012, there will be a new way of saving at work. In the new system, your employer will automatically enrol you into a pension unless you are already in a suitable scheme.

Group personal pensions through your employer:
Your employer may arrange for a pension provider to set up a personal pension through your workplace. A personal pension (including a stakeholder pension) arranged in this way is called a 'Group Personal Pension Plan'. Although they are sometimes referred to as company pensions, employers do not run them.

Find out more about this type of pension in 'Personal pension plans through your employer'.

Benefits in retirement:

As well as your State Pension, you may qualify for a number of other ages related benefits.

See ‘Benefits in retirement’ to find out more about Pension Credit, Winter Fuel Payment, Cold Weather Payment, Veterans’ benefits.

To find out if you qualify for other concessions such as the Senior Railcard or free TV licence, see ‘Concessions and other help’.

Please contact us to discuss how we can help you, for more information or to arrange a no obligation meeting.