Pension Matters old
Your pension should provide an income for you when you retire. If you retire at 65 it is likely you will be retired for over 20 years. That is why you should plan ahead so you can afford to live comfortably for the whole of your retirement.
However, pensions can be complicated and many people don’t really understand how they work.
The Pension Matters leaflet and campaign gives you information to:
- raise your awareness
- get you thinking about your pension
- help you to make realistic plans for your retirement.
If you are unsure where to start when thinking about pensions some key steps you can take can be found here.
The Pension Matters campaign has been developed by:
- the Isle of Man Financial Services Authority, in association with
- the Personal Finance Society (“PFS”), a Professional Body, based in the UK.
The Chief Executives of the Authority and the PFS have issued statements which set out why they believe that the campaign is important:
More details about the PFS can be found on their website www.thepfs.org The PFS consumer focused website can be found at www.thepfs.org/yourmoney - you should note that the specific details on the website are based upon UK legislation.
The campaign has support and input from:
- The Office of Fair Trading (“OFT”); and
- The Isle of Man Government.
The Chartered Institute for Securities and Investments has conducted research into attitudes to pensions. This info graphic helps to highlight awareness about pensions in the UK. https://www.cisi.org/cisiweb2/docs/default-source/default-document-library/010118yougovpensionspension-survey-all.pdf?sfvrsn=0
Isle of Man Specific Information
State Pension – The State Retirement Pension is paid to you if you have reached state pension age and certain National Insurance contributions (NICs) conditions are met. For more information about the state pension age and how much pension you could receive, visit the IOM Government's website at: https://www.gov.im/categories/benefits-and-financial-support/social-security-benefits/retirement-pension
Income Tax – This Department administers tax legislation including legislation applying to pensions. This document compares some of the features of different types of schemes under Isle of Man tax legislation.
Fraud Risks - Pension savings are a target for fraudsters. Never deal with anyone who cold calls you and always check whether an adviser is regulated.
Remember, if someone contacts you unexpectedly and says they can help you transfer your pot, it could be a pension scam. More information can be found at: www.iomfsa.im/consumer-material/pension-scams-and-risky-pension-investments
The Financial Services Ombudsman Scheme may be able to consider a complaint if unsuitable advice is given by an Isle of Man Financial Adviser.
It is your responsibility to ensure that you are entirely comfortable with any proposed investments. You should do your own research to ensure you understand any proposed investments before signing up.
More information can be found on the Financial Services Ombudsman Scheme website.
Information from the United Kingdom
Please note, the information sources referred to below are based in the UK. The legislation and regime in the UK is based on similar concepts however the legislation and tax position is not the same as that in the Isle of Man. As such, when accessing this information you should consider the principles surrounding retirement planning but should not assume that the Isle of Man position is identical.
Useful Websites with general information for consumers on UK Pensions
www.pensionwise.gov.uk – a UK government website which provides impartial UK government guidance about UK defined contribution pension options.
www.pensionsadvisoryservice.org.uk - The Pensions Advisory Service (TPAS) works to make pensions accessible and understandable for UK residents. They provide independent and impartial information and guidance about UK pensions.
www.moneyadviceservice.org.uk The UK government set up the Money Advice Service to provide UK consumers with help in dealing with money matters.
www.fca.org.uk/consumers/pensions-retirement-income - The UK Financial Conduct Authority is a UK Financial Services Regulator. They also provide information for UK consumers on a range of consumer issues including UK pensions and retirement planning.
UK Research on pensions – a number of organisations have undertaken research into attitudes to pensions and preparedness for retirement and other financial matters
https://www.cisi.org/cisiweb2/cisi-website/misc-pages/yougov-pensions - A survey by the Chartered Institute for Securities and Investments looking at the attitudes of UK employees to pensions and savings
www.fca.org.uk/publication/research/financial-lives-survey-2017.pdf - A survey by the UK Financial Conduct Authority into the financial lives of UK adults.
www.insuringwomensfutures.co.uk/uploads/2017/01/Risks-in-Life-Report.pdf A report looking specifically at financial matters for women and their financial resilience.