Limited Company - Pension

[WGT]

Hi,
I'm an IT Contractor with a limited company. I have a pension which I have been contributing into for the last 8 years. I am now going permanent with another company. For the moment I have scaled back my pension contribution to 100 euro a month into the limited company.
My question is ....
If I decide not to contract again through the limited company, can I transfer the pension over or am I better off just leaving it carry on as is.
I have a surplus of funds in the limited company, so I can leave it contributing 100 euro a month for the moment.

WGT

 

[LDFerguson]

You have several options open to you: -

(1) If you join another Occupational Pension Scheme in your new employer, you can transfer your accumulated value into it. Whether or not this is a good idea depends on the charges and fund choice on both sides, i.e. your own scheme and the new one. You'd need to compare both before deciding.

(2) Once you cease drawing a salary from your own company, you can transfer from your own scheme into a Buy Out Bond, a once-off pension investment vehicle. This would enable you to wind up your company if you choose, as I'm guessing that your company is probably trustee of your scheme at the moment.

(3) You can leave your pension fund where it is and draw your benefits at retirement. But if your company is trustee, you'll have to keep the company in existence or appoint a new trustee.