Company pension - halting
 

I pay a fair bit into a pension even though I am only 22. I currently could really do with the monthly money which I pay into it. If i stop it, what happens? Do I (can I) get back my contributions, or does it just sit until I am 65.

Can I go back on at a later date - or do I have to sort out my own?


Just trying to get some info before I see the Company Secretary tomorrow!


Andy

you can't touch it until you are 50 - then you can take 25% tax free lump sum and you get the rest as income (which will probably be the equivalent of 3p a week if you stop paying now)

you should be able to rejoin at a later date, but it would depend on comapny rules

That's not necessarily true.

In most cases, if you have been paying into the scheme for less than two years, you will just get your contributions back.

That has certainly been the situation in my experience.

Damn i've been paying it for 3yrs :( Oh well, the main thing is the halting it and reclaiming the monthly money for the moment!

If there's ANY way you can NOT do this, I'd recommend it.

Every £1 you pay in now is worth many times that when you come to actually want the pension, and a decent pension is far from everyone's future now:(

Alcazar

Outgoings are higher than incomings due to an error on my part a few months ago, so I really could do with it. Anyway I wont even be with this company in a few years!

Ah, but whatever pension you've paid in will almost certainly be transferrable somewhere else.

Debt management?

Alcazar

Depends on the type of scheme in force at the firm in question. Most common schemes in force these days at firms, will provide a transfer value, but some may not.

You need some proper advice on your entire finances.

Log on to www.unbiased.co.uk and find an adviser close to you, and go and see him/her ASAP.