Pension fund details being lost by workers

People are increasingly been signed up automatically to a workplace pension

Changes mean that people will increasingly be signed up automatically to a workplace pension

Changes mean that people will increasingly be signed up automatically to a workplace pension

People changing jobs are losing track of their clutch of workplace pension pots, making retirement planning more difficult.
Age UK said that nearly a quarter of those asked in a survey was unaware of the state of at least one scheme.
About a quarter of the under-35s have already worked for about five employers, a similar proportion to those aged 65 now.
The survey asked 2,300 people about the whereabouts of their pension pots.
About one in five of those who said that their pension details were missing blamed lost paperwork.
Age UK said that the issue was creating a pensions “black hole”.
It is really important we all set aside time to keep on top of our personal admin, such as organizing paperwork and keeping details of any financial products safe and secure.
A free service is provided by the government to trace lost pensions run by the Department for Work and Pensions by completing some details on line and the policy holder can then write to the provider to get the details about their pensions
Having located all the pensions, the individual should then consider bringing them together and purchasing a single annuity [a retirement income]. It would normally give them a better return for their money than seeking to obtain a number of small annuities from different pension pots.
Getting the right type of annuity and shopping around for the best deal are also a must.
The government is planning to make it easier for workers who change jobs frequently to take any small pension pot with them and merge it with their next workplace pension.
The problem may become increasingly acute as more and more workers are automatically enrolled into a workplace pension scheme, under a new government regime.
Some 10 million extra people could be signed up to an occupational pension with every new job as a result.

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