If you are currently retirement planning in Cheshire or elsewhere in the UK, industry experts are warning that failure to claim ‘lost’ pots could leave holders dangerously exposed in retirement.
This could include being overly dependent on the national state pension or means-tested benefits, and therefore unable to invest in more lucrative financial products or to exploit lower fees. There is now, however, an industry campaign to help people find these pots.
Employees are automatically enrolled into a new pension scheme every time they change jobs, and can sometimes lose track of their pot over time. Any saver in this situation is advised to always make sure their contact information is up to date on pensions company databases.
While the government offers a free Pension Tracing Service, you may find it necessary to start with former employers or colleagues and by tracing old payslips, P45s or P60s.
You could also check paperwork to look for past pension statements and see what address is listed. There is the Pension Protection Fund too, which can be of assistance if your employer used a ‘group personal pension’.
You should register to ensure you receive statements thereafter, to find out how much the pension is currently worth. Exercise caution merging with other pots, as you may lose certain benefits. Note that you will not be able to access your pot before the age of 55, unless there are exceptional circumstances.
For further advice on pension planning, contact our team at Hartey Wealth Management today.
