Personal pension, like any other type of pension plan, is a retirement benefit, which can be acquired by means of paying pension providers or financial organizations. Payments are commonly paid monthly. And organizations that manages fund for plans are more often than not banks, insurance companies, etc.
It is, as of now, the most popular type of pension plan to those who have no means of access to a company pension scheme. You can avail it, even if your just 18 years old, and you can start claiming its benefits anytime from age 55.
Personal pension is best suited for you if you are one of these following employees:
- Whose employers does not offer any company pension scheme
- Who have a modest amount of payment that desire to put up the amount they acquire from company pension
- And who, although have the option of paying into a company pension, choose not to
Aside from employed individuals, it can also be availed by unemployed individuals, only of course if they can afford paying for a plan.
And it is, on the other hand, not suited for the following employees:
- Whose employers offer access to a stakeholder pension scheme, with an employer contribution
- And whose employers offer a company pension scheme.