Keep your beneficiary nominations up to date

Many people think that just having a pension means they will be financially prepared for retirement, but it’s important to review these plans on a regular basis.

The pension landscape has changed massively over the last few decades. People who have had a pension for many years often initially set them up with a funding pattern in mind and with an approach that has not changed since. If they haven’t reviewed their pension, people who are starting to reach retirement age might find that the pension is not going to achieve what they want it to and that it became unsuitable years before.

This is because:

• The ways in which you can take pension benefits are now much broader than they used to be
• The investment opportunities within pensions are far greater than in the past
• The industry itself has become a lot more sophisticated

If you were to picture your finances as a jigsaw, it’s likely that your pension would be one of the biggest pieces. For many people, the only thing that’s more valuable than their pension is their home so in the same way that you would pay attention to your house, you should take care of your pension.

A pension review is essentially a pit stop, which gives people the opportunity to look at everything with a professional financial planner and to make sure they are still on track for the retirement lifestyle they want.