Stakeholder summary

If you just want a quick overview of what a stakeholder pension plan is, look no further!

  • Tax relief on contributions at your highest marginal rate

  • A money purchase scheme

  • Minimum contribution of not more than £20

  • Permissible contribution limit of up to £3,600 pa gross (without evidence of earnings) or 100% of earnings. (subject to the Annual and Lifetime allowance)

  • A single annual management charge of not more than 1.5% of the plan value for the first 10 years, taken from the fund/s. After the 10 years, this reduces to a maximum of 1%. There is no upfront fee.

  • You are free (no charges or penalties) to:
    - Stop, increase, decrease or restart your pension contributions at any time
    - Transfer your money to another stakeholder scheme.

  • All plans will have a default investment choice, this is designed to help make purchasing a Stakeholder pension plan easier, but it doesn't guarantee the default fund will necessarily be the right one for you, we recommend advice be sought.