Don’t leave your pension plans to the last minute

This Pension Awareness Day, 15th September 2016, Citizens Advice Ceredigion is encouraging people to plan earlier for a comfortable retirement.

The local charity says that many people in Ceredigion and Carmarthenshire find pensions confusing and can be put off by complex language and paperwork, leaving their retirement plans to the last minute.

Previous research from national Citizens Advice shows that one in four people (27%) with a defined contribution pension feel they don’t understand their pension plan.

The research also finds people aren’t checking their pension, with just under a quarter of people (22%) not knowing how much was in their pension pot and almost one in six people (15%) checking their pension value less than every two years.

Following last year’s pension freedoms, people who are 55 and over now have more options on how to take money from their defined contribution pension.

The changes mean that for the first time you have the option to buy an annuity (a guaranteed income), take an adjustable income, cash in a lump sum or a mixture of these options.

Citizens Advice Ceredigion delivers face to face appointments of the government’s guidance service, Pension Wise in Cardigan, Aberystwyth, Carmarthen, Llanelli, Ammanford and Lampeter, where people 50 and over with defined contribution pensions can get free and impartial information about their options.

Serretta Bebb, Chief Officer at Citizens Advice Ceredigion said:

Pension Awareness Day is a great reminder that it’s never too early to start thinking about your retirement finances.

Many people don’t engage with their pension until it’s time to make a decision about their retirement. While retiring from work may seem far away we’re encouraging people to start making plans for their retirement savings.

To book a face to face or telephone Pension Wise appointment, call 0800 138 8292. You can also visit Citizens Advice Ceredigion to book an appointment.