Pensions advice for self employed by Finance News Bulletin
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Published: 23/02/07
A free pensions advice helpline for personality employed and small commerce owners has been launched on MondayThe helpline, operated by The Pensions optional Service (TPAS), aims to ease a shortfall in pension provision amongst personality employed and business ownersBetween 1998 and 2004 the proportion of self-employed paying into a retirement fund fell from 64% to 49%, according to the place of work of National Statistics (ONS)Annuity reform Women 1 Women 2 retirement fund rights separation Work pensions Lump sums Pension Credit Frozen pensions Shortfalls Overseas pension Small pensions Tax and pensions Pension mend Made simpleState retirement fund With-profits Final salary Money purchase Annuities Serps State
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People 'pay less into pensions' - Published:18/12/07
Contributions to pensions have fallen piercingly since the rise of "money purchase" schemes, according to the place of work for National Statistics (ONS)In 2006, 40% of members of such schemes saying less than 8% of their salaries being paid in as sum paymentsThat compared with a combined 20% payment rate for members of customary final-salary schemesIt was also less than the 8% minimum rate suggested for the government's future system of personal accountsIn 2005, the standard company money purchase scheme received total contributions of now 9% of salary"This confirms the employer retreat from pension stipulation," said Nigel Stanley, head of campaigns at the TUC" An awful lot of people at labor today now countenance big cuts in ther living standards when they retire, particularly those who are now too old to construct up polite savings when personal accounts start in 2012"In the past few years, employers have closed most last salary schemes to new joiners and replaced them with cash purchase versionsIn these, the eventual retirement fund depends directly on the amount of cash that has been built up through investment, with no direct association to the number of years for which members have been contributing or their final pay at retirementThe analysis by the ONS, in an update to its 2005 publication Pension Trends, confirms that employers disburse in far less to their money purchase schemes than they do their final pay arrangementsWhereas, in 2005, more than three-quarters paid in at least 12% of salaries into their staff's last salary schemes, a similar proportion paid less than 8% into their employees's money purchase fundsThe ONS reveals that these money purchase retirement fund arrangements were worst for staff working in sales or client serviceThis was far less than the joint payment rate being made to managers and older officials, which stood at a much more generous height of 28% of salaryMany members of money-purchase schemes - 55% in 2005 - chose to disburse in less than 4% of their own salaries as contributionsThat may have been because either they felt they could not afford to do so, or did not consider that higher contributions were worthwhileThere has been a considerable restocking of the finances of schemes, especially the traditional final-salary ones, in the past few yearsTaking all types of boss pension schemes together, total contributions rose from £34bn in 1995 to £75bn in 2005, with 80% of that increase being salaried by the employersBruce Wraight, a spokesman for the actuarial firm Watson Wyatt, supposed its own investigate had shown that big employers were starting to pay more cash into their cash purchase schemes"We are looking at distinct increases that employers are causal to the defined contribution (money purchase) schemes," he supposedAnnuity reform Women 1 Women 2 Pension human rights Divorce Work pensions Lump sums Pension praise Frozen pensions Shortfalls Overseas pension Small pensions Tax and retirement funds Pension repair Made simpleState retirement fund With-profits Final salary Money.
Read More: People 'Pay Less Into Pensions' >>AXA pension proposition enhanced - Published:01/12/07
Funds can be held in trust for up to 80 years following an investor's death, via an enhanced retirement fund proposition from AXA riches Management, the company has announcedThe discretionary trust option enables pension possessions to be passed on while minimising risk and legal responsibility for inheritance tax (IHT)It is available on a range of pensions including stakeholder, individual pension and self-invested pension wrappers, or Sippsskull of retirement development Tony Moore said: "People want to see the benefits of saving firm for their own financial security, without having to be anxious about IHT legal responsibility on their death prior to vesting"Recently AXA and Winterthur Wealth Management appointed Ian Colquhoun as its organization director of profitable operations in the UK of its new investment companyAXA and Winterthur supposed that the new company aimed to "redefine".
Read More: Axa Pension Proposition Enhanced >>£30bn buy-to-let boom 'will go on' - Published:30/03/07
The £30bn buy-to-let boom is here to wait because rich fortysomethings want an asset substitute for their bombed-out pensions while at the same occasion there is soaring demand from twentysomethings who want to rent because they have no intention of settling down yetThat is the view of buy-to-let superior Nigel Terrington whose model Mortgages and Mortgage Trust are riding the housing bonanza, nowadays reporting an 82% explosion in lending advances in the last year, a 15% rise to evidence profits of £82m and dividends to shareholders ramped up by 35% to 17p'We have seen very, very strong enlargement in buy-to-let and we ourselves are taking more of the market, having made buy-to-let advances of £3bn in the day to the end of September and grown our marketplace share from 5% to 10%, creation us a comfortably the third-biggest player behind HBOS and Bradford & Bingley,' said Terrington, leader executive of the listed parent group Paragon'What is pushing that is basic structural changes There is strong tenant demand being ambitious by demographics: an increasing figure of immigrants looking for somewhere to live, the rising number of students and growing number of twentysomethings who do not want to get married, and do not desire to have children yet'The difference in the generations is heavy the other end of the market: the buyers of properties to be let'There is an element of metropolis bankers enjoying another bumper bonus day but there are a finite number of bankers out there The average purchaser is someone in their not on time forties from a high socio-economic AB status who is financially knowledgeable and astute and who is in the investment market for the long-term'These are populace who have increasing concerns over their pensions, who have seen the end of their final-salary schemes and are seeing diminished investment returns They put on't want to put it into bonds because they are not sure they understand them and they do not want to put it into equity markets because they consider they are driven by City volatility'Instead, they want to invest in something they understand, in information probably know quite a lot about, something they can control and manage That is property Most pay money for-to-letters pay money for within their vicinity because they know their home marketplace and they are looking to build on their initial investment'Terrington believes the market will sign off fears of more interest rate rises in the novel year and of a housing price not working, with buy-to-let growing by more than 20% over the coming dayI do not believe that anyone can predict with any certainty what the housing market will be similar to in the short term But over the long term it is more likely to be a profitable investmentThis sounds like vested interest turn and is actually quite ridiculous since anybody with semi a brain will realise that property can go down in value as well as upIts just like I said occasion and occasion again, market comment like this is ambitious by those with a vested interest and should be ignored They always ignore any negatives and only accentuate the positives, after all they are just salesman trying to make a fast dollarSelect a loan term 12 months (1 year) 24 months (2 existence 36 months (3 existence 48 months (4 existence 60 months (5 existence 72 months (6 existence 84 months (7 existence 96 months (8 existence 108 months (9 existence 120 months (10 existencePlease choose a type of insurance Life insurance Home and contents Car Breakdown services Health - checkup Health - dental Travel.
Read More: £30Bn Buy-To-Let Boom 'Will Go On' >>