Personal Pension
Benefits of pension consolidation
Pension consolidation means bringing multiple pension pots together into one pension. Before transferring any pension, it’s important to check whether you could lose valuable benefits or guarantees.
It’s easier to keep track of your retirement savings
Managing several pension pots can be difficult to see how much you’ve saved overall.
By combining your pensions, it can be easier to view your overall pension value in one place, keep your details up to date, and stay organised as you move jobs or get closer to retirement.
A clearer view of what your savings could mean in the future
Having pensions in one place can make it easier to understand your overall retirement position. Some people find it helps them track how their savings are growing over time, see their pension alongside other savings, and estimate how much income their pension might provide in the future.
Any figures are estimates only and depend on investment performance and future rules.
One consistent approach to investing
Older pensions are often invested in different funds, sometimes chosen years ago. Bringing your pensions together can make it easier to review how your retirement savings are invested, match your investments to your attitude to risk, and avoid being spread across several default options you may have forgotten about.
This does not guarantee better performance, and investment values can go down as well as up.
Simplifying charges and administration
Each pension usually has its own fees and paperwork. By bringing pensions together, some people find they can reduce duplicated administration, manage fewer statements and providers and find costs easier to understand and compare.
Lower charges do not guarantee better outcomes, but costs are an important consideration over time
Simpler planning when accessing your pension
Different pensions can have different rules and options for taking money. Having one pension may make it simpler to understand when you can access your savings, plan how and when to take tax free cash or income and manage withdrawals from a single provider.
The way you take money from your pension can affect how much tax you pay.
Easier for loved ones to understand your arrangements
It’s not something everyone thinks about, but pension arrangements can be complex for family members to deal with. Keeping your pensions in one place may make it easier for beneficiaries to understand what you have, and for loved ones to know who to contact if something happens to you.
Important things to consider before consolidating
Pension consolidation isn’t right for everyone.
Some pensions include:
- A guaranteed income
- Protected tax‑free cash
- Valuable benefits that cannot be replaced
You should always check what you might be giving up before transferring. Our Wealth Services team are happy to help answer questions about how our pension works. You can arrange a guidance call with one of our Personal Financial Coaches by calling 0800 093 1465. Lines are open 9am–6pm Monday to Thursday and 9am–5pm Friday. Or email info@mywealthinvest.co.uk
If you’re unsure whether a pension or investment is right for you, you should speak to a regulated financial adviser. You can also use MoneyHelper, a free and impartial service offering guidance on pensions.
my wealth invest provides a non‑advised service. This means we can explain how pension consolidation and our SIPP work, but we can’t tell you whether consolidating is the right choice for you. Our Wealth Services team are happy to help and if required, can point you towards regulated financial advice.
Please note: this service is currently only available to individuals aged under 50.
Our investment options
You can choose how your pension is invested in one of two ways:
Option 1 – Target-date fund
A target-date fund gradually adjusts how your money is invested as you approach your chosen retirement date, typically reducing investment risk over time.
Option 2: Choose your own investments
You can select your own funds from a range chosen by our investment team. If you choose this option, you should be comfortable making investment decisions and understanding the risks involved.
Please note: this service is currently only available to individuals aged under 50.
Below is an overview of the types of funds available. Full details are available during the application process.
Manage your pension online
Once your pension is invested, you can track it using the my wealth invest app, where you can:
- View your account value
- See contributions and transactions
- Receive regular updates
Making contributions
At present we cannot accept regular contributions. However, you can make one-off contributions from as little as £25 as often as you like or one-off lump sum payments from £XXXX. You’ll usually receive tax relief on eligible contributions.
Accessing your pension
Pensions are designed for use later in life. You can normally take money from your pension from age 55. From 6th April 2028, the minimum pension age rises to 57 so from this date, you will need to be age 57 or older before you can start taking money from your pension.
When drawing your pension, you can usually take up to 25% as a tax‑free lump sum, with the rest used to provide taxable income.
Taking money from your pension can affect how much tax you pay and how long your pension lasts. Different options suit different circumstances.
Charges
Our fees are 0.50% per year, based on the value of your investment, and we’ll collect this from your account monthly in arrears.
You will see on the individual Key Investor Information Document (KIID) fact sheet that each fund has its own ongoing charge. These are shown as a percentage of your investment. We do not have any control over what a fund may charge, but we will always try to pick funds with costs that provide you with value for money.
