Stakeholder Pensions

Stakeholder Pension in detail

• Options at retirement
• What income might you receive?
• Investment options
• Charges
• Your commitment
• Key reading
• Risks
• Employed?

Options at retirement

• You can normally choose your retirement age – anytime from the age of 55.
• At your selected pension date, you have a number of options to choose from:
  • You can use your fund to provide an immediate pension, giving you a regular taxable income for life
  • You can normally take up to 25% of your fund as a tax-free cash lump sum, using the balance of your fund to provide a (reduced) taxable pension for life
  • You can give up part of your pension, to provide a taxable pension for your husband, wife, registered civil partner or other dependant after you die
  • You can also choose whether you want your pension to remain level throughout your life or to increase automatically each year
  • You can delay buying your pension, but still take a taxable income by moving to Income Drawdown.

What income might you receive?

Do an online illustration to help calculate

• What income you might get when you retire
• How much your tax-free lump sum might be
• What your payments could be
• What the plan charges will be

By answering a few questions and choosing the funds you would like your money to be invested in, you can get a rough idea of what income you could receive when you retire, if certain growth rates and other assumptions are met.

Investment options

• You can invest in our range of unit-linked pension funds
• You can choose to put all your pension money into one fund, or spread it between up to 10 funds. There are also a number of lifestyle switching options available. Your adviser can give you details of these
• Your choice of funds should be based on your own circumstances, and on your attitude to risk
  • Read our Stakeholder Funds Guide and view our fund range
  • Find out more about our Investment approaches
  • Risks involved:
    • In long-term investments, risk and reward are inseparable. Put simply: lower risk generally means lower potential growth
    • The value of an investment is not guaranteed and can go up and down depending on investment performance (and currency exchange rates where the fund is invested overseas)
    • Please be aware that the definitions and investment approach ratings for specific funds may change in the future
    • There may be restrictions on the amount you can invest in certain funds. Please Contact us for details on any restrictions that apply

Charges

• There is only one charge applicable and this will be 1% of your fund value throughout the lifetime of the policy.
• There are no separate set-up charges.

Your commitment

• To make the payments you agree to pay.
• To tell us if you are no longer entitled to receive tax relief on your payments.

Key reading

• Stakeholder Pension key features
• Keyfacts about our services and costs
• Policy Provisions for Stakeholder Pensions
• Stakeholder Funds guide

Risks

• The level of income you receive from your pension plan will depend upon a number of factors including the value of the plan when you decide to take your pension, which isn't guaranteed and can go down as well as up.
• Tax treatment depends on the individual circumstances of each client and may be subject to change in the future.
• Tax rules can change.

Employed?

A Stakeholder Pension is designed to encourage people on lower incomes to start saving for a private pension. If you are employed, we recommend you consult your employer about whether there is a company pension scheme you can join before you make a final decision on a private Stakeholder Pension.

Need further information?

View our FAQs or contact us.

View our pension calculators and guides.

Not for you?

See our other pension products