Planning for retirement is vital. The transition between working life and retirement is likely to be much easier if you plan early.
We are here to help you. Here are a few tips to help you transition into retirement.
One of the first steps is to find out what your income will be when you retire.
We send you an update each year letting you know how much your Church pension is likely to be. If you would like to know more about your choices or you would like a quote for a specific retirement date please get in touch and we can help.
Don't forget pensions you may have from previous jobs, as well as your State Pension.
Contact your other pension schemes and ask for an update. If you have lost contact with your old pension you can find them using the government's find my lost pension page.
Add up all of your pensions, including your State Pension and any other income (e.g. inheritance). This is likely to be your total income once you retire.
Will this be enough to live off? Don’t forget…
- You might have to pay housing costs that you didn’t have to pay before.
- You will still have to pay household bills.
- What sort of lifestyle do you want? Do you have the income to support this?
- Its difficult to predict now, but will you need health care later in life?
If you think your income is looking low there are ways you can increase this. AVCs are a very tax efficient way to boost your retirement income. Visit the home page and select your pension scheme to find out more about how AVCs work.
Deciding what to do with your pension can be a difficult decision. Once you have decided you might not be able to change your mind.
Speak to us to make sure you understand what you can and can’t do with your Church pension.
You might have different options with your other pensions. Free guidance is available from Pension Wise. You can book a time to speak to them online.
If you feel you would benefit from advice tailored to your needs you can speak to a financial advisor. You might want to check how much this will cost before you go ahead. You can find a financial advisor in your area at unbiased.co.uk
Finding the right home for your retirement can take time, so you should think ahead, even if you feel as though you do not need to move in the near future.
As you get older you may want to move to another location or be closer to family.
If you feel you would benefit from housing support from the Church of England please visit our housing page.
Pensions are becoming an increasingly attractive target for fraudsters and other criminals.
Pension scams, where people may be tricked into handing over their pension pots by scammers, are on the increase. Many of the offers seem very convincing, starting with offers of excellent returns.
However, once you've transferred your money into a scam it's too late. You could end up losing all your pensions savings and in some cases face a tax bill of up to 55%.
You can tell it might be a scam if an individual or company:
- Contacts you unexpectedly (known as a 'cold call') about your pension by phone, text, visiting you in person, or in other ways
- Suggests you can access your pension money before the age of 55 and that they can help you with this
- Encourages you to take out a large lump sum, or your whole pension pot in one go, and to let them invest it for you
- Asks you to transfer your money quickly, even sending documents to you by courier - never make a rush decision about your pension
- Uses words like 'pension liberation', 'loan', 'loophole', 'free pension review' or 'one-off investment'
- Offers you an investment described as 'unique', 'overseas', 'environmentally friendly', 'ethical' or in a 'new' industry
- Uses convincing marketing material with 'guaranteed' high returns.
Before you do anything, you should follow these 10 steps to protect your pension. If you are in any doubt about your choices or the advice you have been given, you should:
- Talk to the Action Fraud team at the Pensions Regulator on 0300 123 2040.
- Check whether this might be a scam using TPAS's online scam spotter