If you’re not already investing in a pension or don’t currently make full use of the allowances, you may want to seek advice to ensure you are not paying considerable amounts of tax unnecessarily. Pensions represent one of the largest tax breaks available to Contractors, irrespective of whether you are inside or outside of IR35 so seeking professional financial advice is vital to ensure you are saving tax efficiently for your future retirement.
Pensions are now even more flexible, with the introduction of the new pension rules enforced in April 2015, Contractors over the age of 55 can now have complete freedom on how they draw their benefits. You can encash the whole fund, take ad hoc lump sums as and when required and leave funds for future generations. This makes pensions an even more appealing, tax efficient investment option for future retirement.
Contractor Pension Advice on Providers
Having decided to take advantage of the tax breaks available to you, the key to exploiting your benefits is to ensure you make your investment in a pension that meets your Contractor requirements.
As a specialist in financial advice for Contractors, we understand that it is important to avoid companies that charge initial set up costs, we ensure that 100% of your contributions go into your pension. We also recognise that you require flexibility that reflects your Contractor employment status which is fundamentally changeable. Therefore you must have freedom to increase, decrease, suspend, restart and cease contributions completely as and when required. Any pension must be adaptable to your requirements, so you should be able to contribute to your pension pot whether you are a one-man limited company/umbrella company, are between contracts or return to permanent employment. We only recommend pensions that allow versatility but are also providers with financial stability.
We have a wealth of knowledge and experience in the field of Contractor pensions and understand how to take advantage of tax rules that many general advisers/direct providers may not have experience in.
If you would like to discuss your pension options further contact us on 0333 370 8888 or complete our online enquiry form opposite.
The value of investments may fall as well as rise and past performance is not a guide to future returns.
ContractorFinancials is a trading name of Contractor Financials Ltd. Contractor Financials Ltd is registered in England at Gainsborough House, 2 Sheen Road, Richmond, Surrey TW9 1AE no: 4283788. Contractor Financials Ltd is authorised & regulated by the Financial Conduct Authority no: 207478.