Stashing company money in mutual funds

[DimPrawn]

I always took the view that if you plan to be successful financially, a pension is pretty pointless... outside plum public sector jobs, pensions are for wage slaves who need that source of income when they retire.

WHS

[IR35 Avoider]

Changes Introduced From 6 April 2011

The maximum amount of income that may be drawn is reducing. The new maximum amount of income that may be drawn is 100% of the single life annuity that somebody of the same sex and age could purchase based on Government Actuary's Department rates. An individual's pension provider calculates the maximum income, using standard tables prepared by the Government Actuary's Department (GAD). Click here to view the GAD tables.

This change was reversed on Wednesday, the limit has gone back up to 120% of what an annuity would pay.

[dundeedude]

That is the single dumbest thing I have ever read!

I started my pension when I was 16 so I will be living fat at 55 when you are still working long past you die

I'm in my late twenties and have no plan to start a pension for another few years.

1) As mentioned by others, annuities are currently trash
2) Inflation destroys pensions. In the last 15 years your have done reasonably well with investments, depending on how you dealt with the markets in 2008. Now? Depressive period for a while.

It makes much more sense to streamline accounting now, use money wisely in various personal investments and physical appreciating goods. When I want children and all that jazz I'll then have money to use whilst simultaneously placing large percentages in a pension whilst presumably earning a good amount from continuing to contract.

Another thing to consider is that pension high-rate relief has departed - never to return? Who knows. But I'd suggest a pension isn't all it's cracked up to be under newly existing circumstances of policy, stock-markets but can be mitigated through own endeavours.

[SimonMac]

I'm in my late twenties and have no plan to start a pension for another few years.

1) As mentioned by others, annuities are currently trash
2) Inflation destroys pensions. In the last 15 years your have done reasonably well with investments, depending on how you dealt with the markets in 2008. Now? Depressive period for a while.

It makes much more sense to streamline accounting now, use money wisely in various personal investments and physical appreciating goods. When I want children and all that jazz I'll then have money to use whilst simultaneously placing large percentages in a pension whilst presumably earning a good amount from continuing to contract.

Another thing to consider is that pension high-rate relief has departed - never to return? Who knows. But I'd suggest a pension isn't all it's cracked up to be under newly existing circumstances of policy, stock-markets but can be mitigated through own endeavours.

1) Don't buy an annuity then, see drawdown above
2) Depressed market? Now is the time to make a killing then

Add the tax relief that investing in a pension gives you, and that you can now self manage the investments you would be crazy not to include a pension in any retirement planning.

[dundeedude]

1) Don't buy an annuity then, see drawdown above
2) Depressed market? Now is the time to make a killing then

Add the tax relief that investing in a pension gives you, and that you can now self manage the investments you would be crazy not to include a pension in any retirement planning.

SIPP from aged 35 onwards, if you earn over £100k per year, seems a better idea to me, than contributing from aged 20 onwards into a heavily managed pension. The fees are extremely high.

[Optimus Prime]

Oh dear. All this about pensions when I just don't want to use that option for now.

So pensions aside, nobody here has a limited company account with one of the fund providers that they use for keeping company cash? Like a bond fund that can be taken as cash anytime? Or with a months notice?