Professional Pensions
Professional pensions may offer you the chance to benefit from employer pension contributions and other benefits that may be offered.
The term professional pensions can refer to a pension related to a particular professional sphere such as a civil service pension or an NHS pension, or it may simply refer to a company or occupational pension that may be offered by any employer.
A professional pension scheme may offer:
- Contributions from your employer.
- Benefits such as life insurance, or a dependants pension should you pass away.
- Early access to your pension should you fall ill.
- Security in knowing that should there a shortfall in your pension fund due to poor investment performance, your employer will bridge the gap.
Benefits may vary from employer to employer. Before making a decision on whether or not to join a professional pension scheme you should make sure you understand the benefits and drawbacks of joining any scheme and ensure that you're not missing out by opting out.
As an alternative to offering a professional pension your employer may instead offer a group personal pension or a stakeholder pension.
Changes to pension law, due to be phased in between 2012-2017, will mean that whatever profession you belong to your employer will soon be obliged to offer you some sort of pension scheme, although this may not necessarily be a professional pension. To find out more visit: Company Pensions 2012.
If you would like impartial advice on whether joining a professional pension scheme may be the right choice for you, or if you would like to discuss other pension options speak to a member of an independent pension advice team and receive a free initial consultation.
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