Could you benefit from switching to fixed protection?
21/2/2012
Having enough money for a comfortable retirement is one of the primary concerns of those coming to the end of their working lives.
It is vital that Britons have the funds to cover any health care needs they may have in older age, in addition to some spare cash for those little luxuries such as holidays.
According to Skandia, in order to maximise the money available in retirement people should consider whether they could benefit from switching to fixed protection pensions.
Workers with enhanced protection on policies valued up to £1.8 million are being advised to move to fixed protection before the tax year-end deadline, as continuing on current schemes will mean that the maximum tax-free cash allowance bracket will fall to £375,000 from April 6th.
Fixed protection policies will, however, allow for unlimited, tax-efficient pension growth.
Adrian Walker, Skandia's pension expert, commented: "There are numerous factors that need to be considered to fully assess the value of the benefits someone currently holds compared to what they would have if they switch to fixed protection."