I have linked to relevant resources for most of the points covered in the description. Pensions are inherently complex, and I have only brushed over some of these points. If you are unsure, speak to a financial advisor. You can even use the Pension Advice Allowance!
@richieraa
2 ай бұрын
Which sipp is £10 per month? I can't find any.
@nicoyoung2637
2 ай бұрын
The best financial advice I’ve ever seen on the Tube. Thank you
@guydudley
2 ай бұрын
I've searched but have failed to find a Junior SIPP where it's viable to make regular modest monthly payments. I can't find anyone offering fractional shares, so there's always uninvested cash left over and a lot of ETFs are too expensive for a modest monthly investment. I can't find fee-free investment, so a £50 monthly investment would lose somewhere around 10% on trading fees. Please please please can you do a video on how to find a good JSIPP and operate it efficiently. I've settled for annual lump sums put into Fidelity, but I worry that I'm missing a trick and costing my kids potentially better pension pot.
@felixf2631
2 ай бұрын
I am with L&G, the funds in the cheatsheet do not exist in my workplace scheme, at least the ones with a higher risk profile the Fund G25 ones, I am extremely new to this and don't really know what to look for. Do you have any pointers? Edit: I do not have access to any other funds except the 88 they assigned when my workplace has got the pension scheme out for me. So the funds in the cheat sheet exist, I just don't have access to them. It's silly, someone else decides what happens to my pension fund, an I am not allowed to pick a well performing fund because of it. I am stuck, how do I get out of this and stop being limited to the bad performing funds that they chose for me?
@kristiangustafson4130
2 ай бұрын
My 16 y/o daughter and I watched this together (she was just sitting in my office...but it caught her attention.). We had a good chat about pensions, ISA, etc. She asked good questions, made me happy. Thanks for the bonding moment!
@jonathanhowe2652
2 ай бұрын
This should be a “Public Service Announcement “ - beautifully delivered golden pension nuggets - thank you again
@DamienTalksMoney
2 ай бұрын
@@jonathanhowe2652 you are welcome! thank you for watching
@Andy20252
2 ай бұрын
Agreed, this is really solid UK pension information, should be part of education for parents to help their kids
@stephenhughes6704
2 ай бұрын
I've never been one for taking financial advice and choose to make my own financial decisions. One thing I can safely say is that You have an excellent way of putting things across and I just wish there were more people like you who help to educate everybody on financial matters. Well done.
@justjacqueline2004
2 ай бұрын
Being just a labourer on building sites for 52 years and being self employed I can only say to my new colleagues is SAVE FOR YOUR PENSION,I know its difficult particularly during the wet months of the year. Find a pension plan ignore how posh and well dressed they are and SAVE for your future and the future of your wife and family.
@thelight1385
2 ай бұрын
What self employed pension would you recommend?
@johntheaccountant5594
2 ай бұрын
I would not recommend anyone put money into a Private Pension Fund. The future is that the State PEnsion will be means tested so all one is doing by taking out a Private Pension Fund is receiving less from the state.
@rogerq7369
Ай бұрын
@@johntheaccountant5594The future is that it will be means tested and the age you can get it will continue to rise. Private pensions can usually and hopefully will continue to be accessed 10 years before the state pension.
@purangesmith9053
Ай бұрын
@@johntheaccountant5594 You’re an accountant and don’t recommend the self employed savings into a private pension, even a SIPP? Pension savings come out of earnings before tax and you could save up to a maximum of 60k per year. Yet you think saving nothing and living on the state pension is winning. Only if you want a miserable retirement.
@paulbrown5839
21 күн бұрын
In Australia people found ways around being penalised by means testing if the state pension.same will happen if UK introduce means testing
@JohnnnyQuidd
2 ай бұрын
Opening line "I wanna keep this snappy" - I would have put my whole pension on a crocodile joke in the next screen.
@gregothy9190
2 ай бұрын
That just might be the 18th...
@Moosegravy420
2 ай бұрын
This illustrates just how complex pensions really are and the results you can achieve based on your own choices. You’re amazing Damian. 🎉
@garethgazz9332
2 ай бұрын
Damo is slipping 😂
@KevinPacey-zp3xl
2 ай бұрын
Brilliant!, I'm so keen to communicate with my staff the benefits of us both funding their pensions together. Thanks to you, this will help a lot. A run through of Salary sacrifice and the benefits to all might be great! Thanks again
@DamienTalksMoney
2 ай бұрын
You sound like a great boss. Well done for caring about your people
@KevinPacey-zp3xl
2 ай бұрын
Works both ways!
@dafruk1
2 ай бұрын
I was guilty of sitting in default until my 40s, gutted to think how much money I've missed out on through not paying attention.
@st3ve35
2 ай бұрын
Great content Damian, the more that people get their heads around this the more educated and hopefully better off they will be. Thanks
@MrAlwaysBlue
2 ай бұрын
The soundest financial advice available online.
@kevinoxley7488
2 ай бұрын
Sound advice Damien - Even though I have a good understanding of pensions and took control of my own some time ago, I always learn something from your videos, so a huge thanks!
@GeorgeMaragozis
2 ай бұрын
My workplace pension provider is Scottish Widows. I recently opened a Vanguard pension account and transferred the most of the money I had in my Scottish Widows pension pot and leaving there £1000. The whole process took around 6 weeks and it was easy.
@stevegeek
2 ай бұрын
I also transferred out of SW into a SIPP with Interactive Investor. ii took care of the whole process....best thing I ever did!
@kinggeoffrey3801
Ай бұрын
I did the same, but with AJ Bell. Three frozen pensions moved over , only took a few months.
@masbuleinlondon
2 ай бұрын
I think it was one of your videos few months ago where you suggested to switch the default fund to something more aggressive. Done that and noticed huge difference (positive one). Thank you Damien.
@DonaldMacdonald-f4q
2 ай бұрын
Holy smoke Batman….this is probably the single best video I’ve ever seen on pensions I’ve ever seen, and I wish I’d seen it as soon as I started working. Have shared it around my peer groups as a reminder of what I preach now but my word….excellent work Damien 💃🏻😎👏🏻
@ashleykingston1980
2 ай бұрын
I found out about the higher tax rate pension relief a few weeks ago. I wish HMRC would discuss these things more! Still, caught in time to gp for back payments but glad you brought it up for those that didnt know.
@superslip103
2 ай бұрын
BANG ON VIDEO. especially the flexibility with ISAs and SIPPS. you can be so flexible with a combination of the two. Also agree on the government constant meddling. Leave them alone!
@C-L66
2 ай бұрын
Great content and delivery, being a bit of pension nerd I knew most of what you said but great refresher and firmed up on a few things that believed rather than knew for a fact, well done
@ramireddyvarun26
2 ай бұрын
legend. i shared this video with 5-6 people. exceptional quality Damien!
@DavidMorgan-c9v
2 ай бұрын
Just a note to do with tax relief as a higher rate tax payer. It's easy to be put off by the idea of a self assessment tax return but in my experience HMRC will allow you to declare up to £10k per year over the phone without doing one. Being on hold etc. is a nightmare but it's really straightforward when you actually get hold of them.
@BilgeBrigadeBangerRacing
2 ай бұрын
Mine was over 10k and even easier. Sent a free typed letter with proof of SIPP contributions and the refund arrived within 4 weeks. No telephone queue, no forms, dead easy
@bravehartley
2 ай бұрын
I'll 2nd this. I phone them every year when my salary changes and I have never had a problem doing it over the phone.
@DeanR3
2 ай бұрын
Can I ask who is this applicable to exactly ? If you earned 52k say hpw and what exactly would you be claiming back . I am going to open a sipp this week as should have done much earlier.
@tonyk3654
2 ай бұрын
Damien,you are amazing your content has helped me so much,I had two financial advisors from reputable companies give me advice but both tried slapping my arse with fees but following you and others you have opened the doors to pensions and investments,thanks again Damien keep up the great work.
@Abdul_Rahman86
2 ай бұрын
Make sure you listen to Damien! Make sure you maximise your pension at all costs, whether work place or SIPP (or both) and get the best returns. I worked in the NHS and glad I left. After 60 years old your quality of life severely plummets. You’re not as robust, energetic or physical. Risk of chronic health conditions becomes the norm. You do not want to work till you’re 71( state pension and most likely NHS pension age). You want to retire in your 50s and enjoy your life. Yes people are living longer, but quantity and quality is different
@stevegeek
2 ай бұрын
Very true. I've seen too many people retire in their later years then suffer poor health and be unable to enjoy life as much as they should, after years of hard work. Get out of the rat race when you can, is my philosophy.😃
@guitarsandcheesecake1632
2 ай бұрын
Great video. I had life changing money in a pension I had forgotten about. I went to work and told 2 colleagues. And they had the same. We are now sitting pretty, ready for retirement. I've told other work colleagues to start a private pension but all to no avail!!😮
@DamienTalksMoney
2 ай бұрын
@@guitarsandcheesecake1632 I bet those 2 colleagues love you 🤣 First beer is 100% on them when you retire
@guitarsandcheesecake1632
2 ай бұрын
@@DamienTalksMoney I'll be retiring first. But we did laugh when we all found out
@iain3245
2 ай бұрын
Because I am 59, I was invited this week to attend a webinar by the company that provides guidance and advice for my employer's scheme. It was incredibly (actually diabolically) both patronizing and boring. This video was neither, I know most of this stuff but still learnt something new and it was very watchable. Really well done and thanks.
@ianwall9152
2 ай бұрын
You should feed this back to your employer. On the positive side you should congratulate them as at least they are doing something unlike 99% of employers
@iain3245
2 ай бұрын
@@ianwall9152 I agree doing something is better than nothing, but the company providing the guidance could do a lot better and I have fed that back hopefully constructively.
@pisgah2715
2 ай бұрын
Hi Damien, mainly thanks to you and your videos I did take my pension pot in hand last year. It was only then that I calculated the fees I was paying for about 14 plus funds of various types, and the performance over twenty years had been lack luster to say the least. So I moved my pension funds into a SIPP and invested in a low cost global index fund. It took a little longer than expected to move all the funds, but it was the best financial decision I've made since paying the mortgage off. Thank you so much, you inspired me to take action before it was too late. Oh and I meant to say also my other half changed his default funds in his workplace pension and is doing really well now (both of us didn't know that was a thing until we watched your video).
@roblisanti3154
2 ай бұрын
Excellent advice delivered in a clear and calm way. I am 63 and generally OK with where I am re. pensions and ISA's but this information would have been gold dust 10-15 years ago. Never too late to start saving and totally agree...max out the pension contributions and take that employer money. It's a no brainer
@Piglet88-i4d
2 ай бұрын
I’ve been watching your content for a while and cannot thank you enough for the vital education you’ve provided! I am so much more switched on when it comes to making sure any spare cash is being productive toward the future. Cheers Damien, keep up the great work 👍🏻
@Garyjones710
2 ай бұрын
Just set up junior ISA’s my kids- thanks for video and the knowledge Damien.
@rjsimm
2 ай бұрын
Finally got round to changing from the default pension pot this morning! I must have heard you say to do that about 100 times now 😂
@alankwok3726
Ай бұрын
I wanted to say a massive thanks for giving me the push to finally pull my finger out and move my work based pension from the Balanced Lifestyle Fund at Royal London to a Worldwide Fund that I hope may give me more money when retirement comes round. Even if it doesn't I value the confidence you having given me in taking ownership of my pension.
@lemmybongo8611
2 ай бұрын
"We love a bit of spice. We love it!" cracked me up, mate, needed that!
@DamienTalksMoney
2 ай бұрын
Glad you enjoyed it 🤣
@TheFuzzyskwerl
2 ай бұрын
Please do a video on how much you should pay into a workplace pension pension vs a sipp to maximize tax allowances in pension years. Especially for those looking to retire in their 50’s.
@RosieHarp
2 ай бұрын
A 'qualified financial advisor' costs more than the pension fund 😫
@vickieherd
2 ай бұрын
Genuinely one of the best videos you have made.
@lewishorsewell8852
2 ай бұрын
Very good video. One of the best I have seen on the subject.
@viennacat1
2 ай бұрын
Top content as always! I switched my pension out of the default fund 5 months ago, after your earlier video on this subject and I’m definitely seeing higher growth. 😊
@DarrenSteward
2 ай бұрын
Cracking video Damien, cheers for this. Right...time to go open a Junior Sipp for my daughter.
@Life_Literacy
2 ай бұрын
Great video Damo. Really love the idea of different pots to use at different stages in one of your very early videos 👍🏻 Completely readjusted and factoring possibility of no state pension… if it is still around then yay cash pot for world cruise instead!
@DamienTalksMoney
2 ай бұрын
Exactly this! I will see you on that cruise
@BilgeBrigadeBangerRacing
2 ай бұрын
#4 Tax relief. Claiming this is far easier than I expected. I didn't do Self Assessment and didn't even use a HMRC form. I sent a brief free-typed letter and enclosed proof of my annual SIPP contributions and my tax refund came through within 4 weeks. A surprising show of efficiency from HMRC 👌
@SS-vz9iv
2 ай бұрын
I've only taken the step to change from my default fund after research and learning prompted and gained by watching Damien and his videos. Only did it a couple of months ago and the difference in performance in that short time, through the ups and downs, has made me confident it was a good move and much safer than we might actually think as the financially illiterate majority when faced with all the you could lose all your money disclaimers that just scare us away. Just wish I'd done it 9 years ago when i joined the company and the scheme, but better now than never. Thank you Damo!
@DamienTalksMoney
2 ай бұрын
Well done for taking action! I believe this is one of the most meaningful things you can do for your retirement savings. Don’t kick yourself about not doing it sooner then main thing is you have done it now. Thanks for letting me know.
@stevenculley3330
2 ай бұрын
Cheers Damien, excellent video found it very informative and helpful.
@GiZeeGis
2 ай бұрын
I wish I saw a video like this much earlier!!! I have a small pension with L&G and didn't bother changing the default. Since 2021, that pension did not change. Until I noticed I could change where my money was invested. Last month it had a gain of 75£. Imagine what it would have been. So my advise, if you haven't yet, go change the default.
@minimad8793
2 ай бұрын
I can hear the passion coming out of you on this video dude. Glad someone is pushing the message hard to get those on the side lines to motivate themselves. Also in the process of trying to claim back tax relief. such a pain in the butt if you don't do self assessment as the norm. Been told to wait until November when all the figures are available. Got to love HMRC.
@Moist._Robot
2 ай бұрын
My default fund earned 20% over 10 years until I changed it two years ago. It’s now almost doubled.
@PercyJackson93
2 ай бұрын
What did you do with it?
@Moist._Robot
2 ай бұрын
@@PercyJackson93 I changed it into an American index fund with very fortunate timing but also increased my contribution after finally getting more serious at the age of 52. Lol.
@niceandcurly
2 ай бұрын
@PercyJackson93 probably changed to a fund with 100% stocks rather than one 50% stocks 50% bonds
@Moist._Robot
2 ай бұрын
@@niceandcurly It included many other asset classes including precious metals, real estate, commodities, etc.
@travellerseko
2 ай бұрын
Again brilliant content pal. You are getting better day by day. It is really not boring to watch your videos. I have NHS pension, it is complicated so I’m not expert but I can’t change anything inside it. I believe it is fine. I’m 45 and I also started paying this year for SIPP (£100 per month) into Vanguard. Do you think I’m on the right path? P.s.: I’m not looking for financial advise, just friendly suggestion if I’m on the right path.
@benlikesdata
2 ай бұрын
JSIPP - should be mandatory for everyone now, I like to think my kids will thank me in 50 years when I'm gone...
@Neddie2k
2 ай бұрын
Never heard about it, will be setting one up.
@MrBerry67
2 ай бұрын
they certainly will
@ianwall9152
2 ай бұрын
I disagree. How can you commit to scheme for 60 odd years when the rules will probably change. I think a junior ISA is better idea. Money when you are 20 is hopefully so much more useful than getting it when you are 60
@MrBerry67
2 ай бұрын
@@ianwall9152 It all depends on a range of factors
@Neddie2k
2 ай бұрын
@@ianwall9152 I was thinking of this yesterday after watching a video about over 70’s giving advice to their younger self. Most of them had lost their spouse. I figured it’s highly unlikely I will be here when my kid will access JSIPP, JISA is probably more useful.
@davideyres955
2 ай бұрын
Remember that (until Labour decides to tax it) pensions don’t count under inheritance tax. So if you opt out and die unexpectedly that money you didn’t pay in counts towards you loved ones potential tax bill. Great video Damo.
@peteohead
Ай бұрын
A wonderful video that will aid many; Thankyou for making it. I am lucky enough to have a pot spread across both DC & DB schemes, an ISA and SIPP, and my kids have junior SIPPS. I have been advised that an offshore bond might be a savvy way to invest to cover off the early portion of retirement. Have you done any videos on offshore bonds or is there any advice you would offer?
@AB-WhyAlwaysMe
2 ай бұрын
Damien, would love to see a step by step video on how to claim tax relief from HMRC for higher and additional rate tax payers. Thanks!
@johnpearce-w2k
2 ай бұрын
As a single man, with a defined benefit pension, I'm considering taking the 'lump sum' as there is no-one to leave my pension to. My thoughts are that I may as well take the lump sum, and reinvest myself, so that there is something to leave to my children.
@AgileSnowWeasel
2 ай бұрын
Yes, DB schemes have issues that taking the lump sum negates, and reinvesting might get more than the DB scheme increase anyway. You can always set your grandchildren up with a JSIPP too from that money, a grand gift from a grandfather.
@TheSilvercue
2 ай бұрын
This is me drawback of DB, but they are so much better than DC pensions
@jamesc983
Ай бұрын
Hi Damien, thanks to watching this video I've managed to claim back the last 4 years of higher rate tax relief that i previously had no idea was even a thing. Just wanted to say thanks as i honestly would never have known otherwise.
@DamienTalksMoney
Ай бұрын
Boom! Love to hear this, even better you can not make a claim every year going forwards. Enjoy
@rmas66
2 ай бұрын
Nice one Damien. Im going to open a SIPP now!
@mflvideos8144
Ай бұрын
Great video as usual - thanks.
@A-Name-101
2 ай бұрын
Choose salary sacrifice as that will save you tax and NI, can also be useful in reducing you into a lower tax band as well. Plus if you can afford it you can also contribute separately into a SIPP if you have maxed out via work contributions. Stay within the limits eg 100% of salary or £60k whichever comes first. This is because work contributions class as an employer credit, giving you the difference where you can get free money from the government. I also made changes to my “default” fund, I did some research and chose ones with 0% management fees or ultra low fees and I’ve seen the fund go up significantly. I wish I had done it years ago and not stuck my head in the sand doing nothing! Also be careful in transferring old pension pots to newer ones. Some may have protected rights. One of mine is a guarantee of 55 yrs old, another one is an inflation linked type fund. Plus the old employer still pays the management fee for the main platform, if I moved it eg to Vanguard I’d have to pay an extra 0.15% Plan and do your research, use calculators such as salary ones that can help when working out how you can afford to store more away for the future!
@toothyttp5870
2 ай бұрын
Salary Sacrifice is usually a good option, if available, but be aware that it can affect some company benefits, or government benefits, which are calculated on your salary. For example, if an annual company bonus is given as a percentage of your salary, you might lose out, depending on the rules of the scheme.
@A-Name-101
2 ай бұрын
@@toothyttp5870 good points!
@mattsennett
2 ай бұрын
Another great video Damo 👍🏻I got a straight no from NEST, in writing too, when I asked about partial transfers. Years ago I read the fee structure is high because of the cost to the government in setting all this up.
@erikgrimley5519
2 ай бұрын
Love the videos always such useful advice! Any tips on how to talk to a spouse/significant other about pensions, when they don’t like to talk about money at all?
@davidstuart3795
2 ай бұрын
The tax relief point is a great one. Even more so if you are a high earner. the HICBC for claiming back child benefit can be avoided if you do your self assessment and make sure your pension contributions are correct to reduce your income below the threshold.
@courtenaybotterill5591
2 ай бұрын
Brilliant as ever. Thank you
@AgileSnowWeasel
2 ай бұрын
Fees are also very well hidden by the pension providers. Recently found a (smaller, fortunately) pot with Standard Life has a 1.023% fee. Another with Aegon (also small, thankfully) is around 1%. I haven't even found the fee for the larger Scottish Widows pension, but the active work pension with Fidelity seems more reasonable.
@alanhawkes7246
2 ай бұрын
Excellent video, thank you.I’d love to see a future video on the advantages of pension Sal sac combined with higher rate tax relief.
@darrenmcdermott6443
2 ай бұрын
As a financial adviser i find this a great summary...well done Damien
@Riaan3108
2 ай бұрын
The content King, amazing work Damo.
@ryand3201
2 ай бұрын
Great vid as ever Damo. Some super basic lessons but not taught to us. The first couple you mentioned there are so key and costing people a lot of money. Tax reliefs are not understood either, adding NI relief and company benefits/ matches to that too
@BigJaysDad
2 ай бұрын
Quality material Damien 👊🏻
@CEREALKlLLLER
2 ай бұрын
Awesome video, cheers bro. I liked the fast pace of this video, like the KPM (Knowledge Per Minute) thing InvestAnswers does.
@Medge2sc
2 ай бұрын
Thanks Damien , at 37 Iv just started taking this stuff more seriously I started investing the S&P starting with a lump sum just to help and then transfered from work place to a sipp
@RobertGillontheinterweb
2 ай бұрын
S&P 500 is the present no1 index but driven by just 7 stocks. You may be making the ‘Whats working now’ mistake. Look at global index trackers for diversity
@truuuupR
2 ай бұрын
This is going to sound lame, I've only recently discovered you but you're so well spoken and entertaining to watch.
@Worldwithoutboarders
2 ай бұрын
Very good tips most employees should know.
@Jasoonic
24 күн бұрын
Great video with sound advice. The tax relief figure is always misconstrued however. When putting money in a SIPP, the tax relief essentially adds 25%, NOT 20%. This can be confusing but adding £100 equates to net income ie 80% of gross and this other 20% would be 25% of the 80% (!) so it’s more realistic to see the tax relief as adding 25% to your contribution on the way in, while taxing it on the way out of course. For higher rate 40% payers, this figure is a colossal 66.6% (the £100 contribution is 60% net income so an additional £66.66 would be the other 40% tax relief). Of course this lends itself to huge growth opportunities over time.
@andymiles5156
Ай бұрын
My company offered salary sacrifice so I thought I was all set. Only later did I find this was only 80% of my pension payment. So I hadn’t been claiming back the additional tax on 20% of the payment outside of salary sacrifice. Whilst I lost a lot in tax, I was able to go back three years as soon as I realised.
@MatthewJones
2 ай бұрын
i'm 48 and thinking of retirement at 55, if things go well with the market, but what worries me if we switch to means a tested system like Australia. I'm counting on the state pension to help out once i reach 67, but how much notice did they get? what would be the point of saving like crazy now, if it could be means tested away down the road...i could end up no better off :( do they count ISA's in this test?
@Munchman1
2 ай бұрын
As a Civil Servant I'm not sure I can do some of these things but it's really helpful (only at the start of the video atm so will no doubt learn some tricks!) Edit:now well in to the video and I am glad to know I have been listening to Damien enough over the gears as I do already have a S&S ISA on top of my CS pension!
@Myke001
2 ай бұрын
Pension Advice Allowance, if only I knew this years ago 🤯. Great video
@dereklawson945
2 ай бұрын
Great session. One thing that causes a problem is the word Pension. It means later in life, it means end of life, and I will get to it later. I personally think that investing over a lifetime will generate wealth and increase choices. I think back to the decisions that I took when I was mid 20s, influenced by small words in my ear by relatives who said that starting early to invest in future will reap big rewards. I am now early 50s, and there is so much more choice available now. With that comes responsibility and nervousness to make a wrong decision where to put money and how much risk to accept. Diversification is easy to talk about, ISA, etc, but pension contributions are by far the most tax efficient way to save.. and is also immune to inheritance tax!! I find myself now thinking about my kids financial future as opposed my own!
@sid35gb
2 ай бұрын
My work place pension is totally inflexible no choice of funds, no partial withdrawals and statements give the minimum amount of information. I can transfer but that would boot me out until the next round of auto enrolment kicks in . The only thing it does easy is give me the options to increase contributions and finally the fees suck.
@gavinwelsh4534
2 ай бұрын
You maybe able to do a partial transfer.
@UbiquitousBooks
2 ай бұрын
Any chance of lobbying your employer to change provider? It's in their interest to maximise the value of the pension benefits they offer.
@mvp_kryptonite
2 ай бұрын
I think this video is one of your best! Will forward to my siblings who struggle with this but I have an action to transfer to a SIPP to save on fees! JSIPP, i completely forgot about that
@peterhannaford460
2 ай бұрын
A Defined Benefit pension dies with you (or your spouse) so taking the lump sum give you access to it (Albeit with a reduced monthly payment). Reduces income tax and can be put into ISA's
@James96_
2 ай бұрын
I’m always telling people at work to adjust there funds and encouraging them to actually contribute to it, it amazes me how many people don’t care or are bothered by it. Our employer matches up to 7% and along with a 7% default contribution by then too.
@nicwilliams00
2 ай бұрын
Another great video Damo! Not heard you talk about the protected pension age. I found out about it a few weeks ago. Turns out I can retire at 55 because of when I opened my pension. Not sure if it is the same for my childs JSIPP but I hope it is. Peace
@MaxHarris-z2u
21 күн бұрын
Thank you! I’ve just had an approx 2k tax refund after claiming back tax relief for the last 4 years. Keep up the great content!
@deangriffiths8107
2 ай бұрын
Great advice especially number 1, I changed my investment plan just the other week from balanced to adventurous and looking at the last five years of investing it’s been 10% better. The good thing is any investments already made stay in the vanilla pot they were put in but my investments going forward are going into the vindaloo and if I think things are getting a bit to spicy for me I can just go back to vanilla, of course none of this is food advice.
@lyracian
2 ай бұрын
I already opened a Junior SIPP after seeing your earlier video so Thank You again for that advice. Hopefully I can get 10k into that before my daughter is 18. My plan for the 25% tax free lump sum is to put it into other investments that I can use as "starting rate for savings" while keeping my pension under the Personal Allowance (at least until, or if, I get a State Pension). That way I get even more tax free income each year.
@henrikgrunditz2672
2 ай бұрын
Brilliant video. Expecially about junior sipps.
@SuperJinxter
2 ай бұрын
I feel quite silly. I didn’t know I could pick my own fund. I’ve just swapped to a high yield fund. I’m aware of the risk and the balance of my pension isn’t that great where if I lost the lot, it wouldn’t make a great deal of difference. Thanks Damian.
@EmmaCruises
2 ай бұрын
PENSION MISTAKES? WHO ME? Yes. 100%.
@DamienTalksMoney
2 ай бұрын
Don’t even get me started on yours! Your pension is not reaching its true potential Emma..
@EmmaCruises
2 ай бұрын
@@DamienTalksMoney 😆
@2obin.
2 ай бұрын
Another benefit of a work place pension is if you can get your employer to pay in THEIR NI saving on anything you salary sacrifice into your pension as well. It's worth asking HR about this as the amounts can be considerable if you are focusing on maximising pension contributions.
@Chanesmyname
2 ай бұрын
I have a DB pension I am happy with it and the advisory people with it are great.
@TheSilvercue
2 ай бұрын
I changed my funds in November. My portfolio profits have increased by a factor of 5. Yes, some luck with timing, but standard fund was way to conservative and the sustainability side makes it even worse.
@davidwhiteman4649
2 ай бұрын
Well done, great video.
@F0ssil
2 ай бұрын
I look forward to your vids know, thanks again Damien. I hear talk of means tested State Pension in the UK, what are your thoughts on that?
@nubin0807
2 ай бұрын
Me and my wife have recently set up JSIPP for our 2 children - 8yo and 11yo, adding £85 per month per child, plus any gift money ; the plan being when they are early 20s they can draw the money down to get themselves on the housing market
@adrianl5899
2 ай бұрын
Do you mean a Junior ISA, which is accessible at 18? A Junior SIPP is a pension and can't be accessed until the children are in their late 50s.
@nubin0807
2 ай бұрын
@@adrianl5899 ah yeah sorry a junior isa i mean
@benshephard1800
2 ай бұрын
Awesome advice, thank you Damo.
@DamienTalksMoney
2 ай бұрын
@@benshephard1800 Thanks Ben
@cannontrodder
2 ай бұрын
I used to think about pensions and then just shut it away and be ignorant about them. They felt like something I had no control over. I was so wrong. I found all my little pots and realised retirement was going to be .. basic. But I felt some relief, at least I knew. From then on I realised I DID have a lot of control. I've transferred them to low fees, chosen a simple global index tracker, claimed tax relief, do regular partial transfers and increase my contributions when I get any annual pay rise (currently putting it all in). I've gone from predicted £6k per year income at 60 to potentially £65k per year at 58. Do it people, peace of mind is a lovely feeling.
@Bedtimechums
2 ай бұрын
You are so good at this. Your next gig can be a communication skills course.
@elliottharley1386
2 ай бұрын
Great advise this! Like the in a nutshell style 👍
@daisybee2245
2 ай бұрын
Thanks for sharing - invaluable advice!! As a soletrader (not VAT registered), would my SIPP contributions be offset against my taxable income? I am also paying into a LGPS, many thanks 🙂
@danks19
2 ай бұрын
How come you suggest a junior sipp over a junior ISA? Should we do both with half the month you would put into one of them?
@TomsPersonalFinance
2 ай бұрын
This video is exceptional even by your standards, Damien. You have helped and will continue to help so many people
@Chanesmyname
2 ай бұрын
And my partner has been making sure they paid the max in their pension since the 1980s and they have decided to retire this year, their pension pot bought a handsome annuity (they wanted the most convenience) they only took a small lump sum too I also get a pension from it if they die before me. I try and explain to people how important their pension is and getting more important all the time, especially when it looks like they will be sunsetting the state pension.
@matthewbarratt5216
2 ай бұрын
I work in the civil service and I’d love to have someone explain how a civil service pension differs from a normal SIPP. The pension provider is useless at explaining this and I REALLY don’t want to lose out. Would love to see a video on this comparison.
@ChrisM752
2 ай бұрын
I’m in the NHS and in the same position.
@NEUKBasementDweller
2 ай бұрын
In a sipp your money is invested in stocks and bonds in the hope they will generate returns and increase in value over time. The civil service pension is a defined benefit scheme, I joined in the last 5 years, for every year I work, I gain 2.3% of my average salary every year at retirement e.g if you worked in the Cs for two years only, you'd get 4.6% of your average salary at retirement each year. There are no investments.
@PennyKnight-b7v
2 ай бұрын
The civil service pension is not invested.The amount you get is based on your earnings, either final salary or career average. The amount you get from SIPP depends on how well the funds they are invested in perform.
@TS-bn7zt
2 ай бұрын
@@PennyKnight-b7vAbsolutely correct 👍
@Life_Literacy
2 ай бұрын
Hey, the main difference is a civil service pension (defined benefit or DB for short) will guarantee to pay you a set amount from your retirement each year where a SIPP or defined contribution (DC pension) the pot of money you accumulate you then have to manage through your retirement, make sure you don’t spend it all and have enough and have enough to last. For example if someone in the private sector has saved £350,000 pot, they need to make sure to manage the withdrawals as it’ll need to last until they die. With DB depending on your grade you’ll pay anything for 4.6% up to 8% of your monthly wage in to pension where the government department you work for will pay between 26-27% of your wages. For example a staff member earning £25,000 a year would pay in 4.6% which is around £1,150 a year and their employer would pay in 26.6% which is £6,650 a year. With DC pension on average (don’t quote me as it differs) illustration only you each pay around 8% in. Which is tiny compared to the DB employers contributions….. one of the main reasons they don’t do them anymore is they are very expensive for employers to run. I joined the civil service in 2003 as an AA, few years then AO, been EO for last 7years. My projected pension is expected to be £27,000 (in today’s money, would be adjusted for inflation) at my retirement age of 68. That is assuming I still full time at EO. I’ve just passed HEO board so that assumption is likely to go up as I’ll be putting in 5.45% now I have moved pay scale. But on the current prediction they will pay me that £27,000 per year for as long as I live. So if I live till I am 87 (average age for my family) that’s 19 years, that’s equivalent to £513,000 pension pot, though I could live til I’m 95 and that would be £729,000! I can choose to retire earlier than my National Pension Age (NPA), but you do get penalised as they have to pay out the money for longer. In my example if I want to retire at 60 years old it pulls the annual amount down to £17,000 (cos it’s 8 extra years of paying). So to met the deficit I am saving in a stocks and shares ISA and a LISA so I’ll have money I can pull from to bridge the gap between 60 and 68 (when the state pension kicks in). Though I have built in a buffer incase that goes and they continue to move the NPA. Hopefully that makes sense.
@jimf671
2 ай бұрын
State pension. Since other similar economies are paying far more than the UK and, increasingly, gilts are recognised as unemployment benefit for rich people, yes, the staus quo may change but not how you think. Miss out the middle-men and pay straight to the pensioners. It makes a huge amount of sense.
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