Stopping contributions

If you stop paying into your pension, you might not get your contributions refunded, you might not be allowed to resume payments and your eventual retirement income will be reduced.

So, unless you're leaving the company and are not allowed to pay into the plan once you've left, you could consider reducing your contributions rather than stopping them altogether.

If you have been paying into PensionSaver and then leave the company, you can continue paying into it once you've left, even though the company's contributions would stop. This way, your pension can move around with you.

Top tips

  • If you have any old pension plans, you could consider transferring them to your current pension so that they are all in one manageable place. Make sure you get independent financial advice first though as each pension plan may offer different benefits
  • Because of the tax incentives, if you decide to opt out of the company pension plan, your take home pay will usually go up by less than your monthly pension payments.

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