Information on National Employment Savings Trust Pensions

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The NEST pension is part of the general pension industry and is a way for you to save money and make sure that you have enough income to support your lifestyle once you are retired. When we retire we will enjoy a great income if we have saved enough.

There are a few different types of pension out there, but what it usually comes down to is how much you save and how well those savings are invested. These are the factors which will determine how much income your pensions spits off as you age gracefully.

Whatever type of pension that you may have, it will have some significant tax benefits. You get a tax shield on the money paid in (however, there tends to be an upper limit on the amount paid in) and, you will most likely be entitled to a tax free payment at retirement.

If you have no pension other than the one provided by the government then you could be in for a modest retirement. A pension is the ultimate way to provide for yourself in old age, and without it you may face some issues.

Pensions grow to be such sizeable pots because of the tax advantages. By compounding tax free savings the amounts held can accumulate into a big enough lump sum for you to effectively live off the interest.

Occupational pensions, state pensions and money purchase pensions can all be used to save for your retirement, but each has slightly different features. The state pension is standardized for all citizens, but you may have the option to be able to top it up. A money purchase pension can be used by employers, and it can also be used by the self-employed. Clearly there are many options when it comes to pensions.

The UK government’s NEST pension is not a typical pension plan. It is targeted at low income workers and more details about it can be found at this web site, just click: http://nestpensionguide.co.uk/

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