Pension for Dumbies

[Lance]

They probably can't advise you on the best pension, but they can tell you that a company pension contribution is tax efficient. It's a legitimate expense, so will reduce the profit (and therefore CT and dividends). Pay 50% tax, then your company pension contribution is double what you'd be able to make personally. Which is nice. The downside is that you have to wait to spend the money.

and may have to pay tax when you take it out. Depends on many factors, not least that the rules may change before you get to 55.

[SBK1972]

Hi,

Well, Landsdown H account created, even invested in my first tracker - Fundsmith.

Emailed account, telling them about the creation of my SIPP and plan to shovel off £300 a month.

Cheers guys.

Simon

[Alan @ BroomeAffinity]

They probably can't advise you on the best pension, but they can tell you that a company pension contribution is tax efficient. It's a legitimate expense, so will reduce the profit (and therefore CT and dividends). Pay 50% tax, then your company pension contribution is double what you'd be able to make personally. Which is nice. The downside is that you have to wait to spend the money.

Was just about to post pretty much this. Saved me the bother.

If your accountant isn't helping you with this, then he's probably not helping with lots more your don't realise. Get yourself an accountant who will provide advice based on real time info, not compliance.

[northernladuk]

If your accountant isn't helping you with this, then he's probably not helping with lots more your don't realise. Get yourself an accountant who will provide advice based on real time info, not compliance.

Know anyone that could help him out Alan? 😉

[Alan @ BroomeAffinity]

Know anyone that could help him out Alan? [emoji6]

Why, Mr Nluk, I couldn't possibly say. [emoji3]

[kaiser78]

Seek the advice of an IFA - they normally offer the first hour consultation FOC. You can pick their brains during this time.

[Fred Bloggs]

Hi,

Well, Landsdown H account created, even invested in my first tracker - Fundsmith.

Emailed account, telling them about the creation of my SIPP and plan to shovel off £300 a month.

Cheers guys.

Simon

Well done. But just so that you know, Fundsmith is an excellent choice for your SIPP, but it isn't a tracker. It has made excellent returns the last five years, where a tracker would have tracked the chosen index and gone pretty much nowhere. If you go to the Fundsmith website you can download their "owners manual". Well worth reading.