Consolidating company pensions
And are there pensions you should leave where they are?
The convenience factor It’s much easier to manage one pension than half a dozen.
Most modern pensions also offer ready-made funds, matched to your personal needs, for those who don’t want to choose from thousands of different funds.
Cost cutting You could end up with a bigger pension pot.
Older pensions generally have higher charges, so moving your pension to a modern one could reduce the cost of administration and fund management.
Tracking and switching It’s often easier to track and switch your investments if they’re in one place.
Brits can now expect to work for an average of six employers during their working life.
With workers who earn £10,000 a year or more being automatically enrolled into pension saving from the age of 22, this is likely to mean that full-time employees accumulate five or six pensions along the way.
While there are many advantages to be gained by consolidating your pension, be wary that some of those old pensions may be more valuable than you think.
Make sure you understand whether your existing pensions have some advantages that you would lose if you transferred.