Maintaining a pension in the traditional custom is still a prudent course of action despite the government’s plan to cut the tax breaks given to savers. As this article demonstrates, there are certain steps that can be taken to guarantee that continued saving is beneficial.
It reveals that long-term saving has, in general, brought about better returns than short-term and should hopefully allow for a larger pension pot when it comes to retirement.
As always, I would encourage seeking information or advice from professionals to ensure that you are making the right decisions to allow for the most advantageous pension strategy, whether that might be joining a workplace pension or making the use of ISAs; everyone’s situation is different.
The pensions landscape is changing radically as the Government seeks to cut the tax breaks it gives to savers. Despite the impending upheaval, experts agree on one thing – you shouldn’t write off the traditional way to save for retirement.