You might not think your workplace pension has much in common with the type of creature you’d see in a Hammer classic. But the truth can be more terrifying than you ever imagined.
Sit tight, as we take a look at three Halloween horrors and how they tie in with common pension issues.
Fantasy aside, a lot of people can find themselves scared of their pensions. But left to their own devices, these menaces may be eating away at your retirement savings and could come back to haunt you.
Fear not dear reader, for every financial fiend has its weakness. We’ll show you how to vanquish them before they take hold.
With that in mind it’s time to be brave and face your pension demons head on.
This article is here to guide you, but be warned that it’s not personal advice. If you're unsure, seek advice.
Much like the walking dead, your pension might look ok at first glance. But take a closer look, and you realise something’s wrong – very wrong.
The money you pay into your workplace pension is usually invested to help it grow. But what if the investments aren’t growing as they should?
You can think of such a pension as a zombie. It slowly shambles along, filled with lifeless investments, ceaselessly searching for one thing: fresh money to feed on. Whether your pension investments grow in value could make a big difference to your retirement. So why not inject some life into them?
Start by looking at where your pension is invested and how it’s performed. If your pension is barely alive, you can try to revive it by choosing other investments.
Depending on how far off retirement is, you might want to think about choosing investments that aim for better returns. But, of course, these are usually higher risk.
Take heed: all investments fall as well as rise in value so you might not get back what you put in.
Take a look at your investment options »
This nightmare is all too real. Like most people, you’ve probably got a pension pot for every job you’ve had.
They’re scattered about – different pensions, different employers, different providers. Stitch them together and you don’t get one healthy body of pension saving – but the monstrous patchwork of Victor Frankenstein.
But your pension could seem a lot less scary when it’s just in one place. It’s up to you, but it’s worth thinking about moving old pensions across to your current one with HL. It might make life easier.
Just make sure you check you won’t lose any valuable benefits or guarantees by transferring. Pensions are usually transferred as cash so you will miss any market rises or falls for a period.
In most of the stories, those bitten by the werewolf feel dread as the full moon approaches. The transformation they undergo is something that happens to them, not something they can control or even prepare for.
Which is how some people feel about retirement. It’s a big change and it’s inevitable. We’re obviously not suggesting you’ll sprout hair all over or spend your time howling at the sky. But not knowing the options leaves many feeling powerless.
But when you know your options, you can prepare with confidence for the future.
Your pension isn’t like a bank account, so you can’t just withdraw money from it. When you decide to access your pension, which you can do after age 55 (57 from 2028), a transformation will take place.
It might become a drawdown account so you can access it flexibly. Or perhaps an annuity if you want security. It all depends on what type of pension you have and the options available through your pension provider.
But it’s up to you to decide how you take your pension. So check what retirement options your pension provider has. And make sure you’re not locked into a transformation you don’t want when the time comes.
Your current workplace pension with HL offers a wealth of different retirement options. Find out more about them and think about what might work for you.
The government provides a free and impartial service to help you understand your retirement options. Pension Wise is available at www.pensionwise.gov.uk, by calling 0800 138 3944 or face-to-face.
Learn more about your retirement options »
Who ya gonna call?
HL can’t really help if there’s something strange in your neighbourhood – there’s a different team for that.
But when it comes to your pension, if there’s something weird and it don’t look good – or you just want to ask us a question, call us on 0117 314 1795 or email invest@hl.co.uk.