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Pensions
If you are not part of your employer's pension scheme you are eligible for a personal pension, which has the advantage of portability over it's occupational counterpart. Personal pensions can be acquired from insurance firms, banks and investment companies, but it is worth getting some quotes before committing yourself.
Contributions to a personal pension scheme will be added to by tax-relief from the government to increase its value. These contributions themselves are invested in one of three ways: Equities - linked to the stock-market, high risk but good returns; Bonds - promissory loans from large bodies (governments or corporations), medium risk; and Deposits - the money simply resides in a bank account, low return but low risk.
Upon retirement, the pension-holder will receive up to 25 percent of the policy as a lump sum and the rest in installments over the following years, the size of the final pension reflects the size of contributions.
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