Saving for retirement:
If I save in a pension, 75% of it can only be taken as an annuity. These are financial products sold by insurance companies to a captive market, and priced accordingly; i.e. a good deal for the broker rather than the paying customer.
If I save in ISAs instead, the tax advantage comes later; with the obvious possibility that the Chancellor might remove that advantage before I get to it. At least with a pension you have already taken the tax break.
Which is better? Or is there a better plan? (Please do not hijack thread to discuss housing market).
If I save in a pension, 75% of it can only be taken as an annuity. These are financial products sold by insurance companies to a captive market, and priced accordingly; i.e. a good deal for the broker rather than the paying customer.
If I save in ISAs instead, the tax advantage comes later; with the obvious possibility that the Chancellor might remove that advantage before I get to it. At least with a pension you have already taken the tax break.
Which is better? Or is there a better plan? (Please do not hijack thread to discuss housing market).
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