good pension plan is designed to ensure that the employee’s future is secured
by the amount that they will as pension upon retirement. The amount that is
deducted from the employee’s monthly salary, together with employer
contributions under the workplace pension scheme, is supposed to enable them to
enjoy a good quality lifestyle during their retirement years.
for many employees this has not always been the case. Some people waste their
money paying into dormant pension schemes that fail to produce the required
results. It is therefore very important for employers to ensure that you find a
reliable pension service management company that have a good track record of
achievement and know the market.
2012 the UK Financial Conduct Authority (FCU) forced the pension providers to
lower the forecast rates. This in turn led to the conservative rate dropping
from 5% to 2% and the high growth forecast dropping from 9% to 8%.
BBC programme (Panorama) found out that some of the high street pension
providers taking up to two thirds value from people’s pensions in commission
and fees, which is inappropriate. It therefore follows that many workers in the
United Kingdom face the risk of working a lifetime but having little money in
you hire a trustworthy pension services management company there are many
issues to consider and pitfalls to avoid. It is vital for any employer to
consult with pension service providers that have a good reputation and cut
links with any service provider that is deemed dormant or poor performers.
are just but some of the factors that employers can be looking for to determine
whether a pension service provider is viable or not. A good service provider
should be able to:
down all the previous pension payments for employees and transfer the pension
scheme to one company.
all the employees pension processing on their behalf.
track of employees pension records and ensure all employee payments are
up all retired employees pension claims and ensure they are paid
reliable pension service providers with the best forecast rates.
you with wealth management firms that are well regulated by FCA.
you care about the welfare of your employees it is necessary to ensure that
your pension plan service provider can meet all the above.
most important and key factor is that the firm must be regulated by FCA since
it is the only body that cares for employees welfare as much as pension is
concerned. Further the firm must have a good and known reputation.
further information please follow this link to our partners for pension advice
St. James’s Place Wealth Management – Warren House Chartered Financial Planners