How to choose your pension scheme

There are several pension schemes to choose from these days. But which one is best for you?

10:34 17 January 2013

When people are thinking about starting their pension fund, they usually ask just one question: what’s the best for me? Unfortunately, this isn’t one-size-fits-all type of thing. The best pension scheme for your neighbour might not be even useful for you. Just like any other financial product out there, pension is chosen based on the specific need and demand of the customer.

If you’re just starting out with this, you might be overwhelmed with so much information available about the subject. It is good to get the help of an independent financial adviser; someone who isn’t affiliated with any company so you will not be pressured to get something that might not be best for you.

One of the schemes that is worth checking out is Self-Invested Personal Pensions. These are extremely popular among investors these days. They are almost like DIY pensions; designed based on your current lifestyle and on your future plans when you hit your golden years. These are great options if you’re thinking about retiring a little earlier than 65.

Choosing the best pension scheme can be tricky and a bit overwhelming. To make the process of making well-informed decision, seeking professional advice is definitely a must.