Know your legal obligations on pensions

Introduction

It is sensible for everybody to make sure that they have some sort of pension provision. As an employer, you need to understand your legal obligations to your employees. You should consider your own retirement needs as well and, even if you own the business, do not rely on selling your company as a guaranteed source of income on your retirement.

Stakeholder schemes are a recent addition to the pension stable and are mainly an option for people earning a moderate income who don't have access to a company pension scheme. They must meet a number of minimum standards to make sure they are a flexible and portable pension arrangement with a cap on annual management charges.

Whichever pension you opt for, you need to understand the relevant regulations and tax implications. You may want to talk to a professional adviser about your particular needs before deciding.

This guide will help you understand your options and explain your legal obligations.

Subjects covered in this guide

• Introduction
• Occupational pensions
• Personal pensions
• Stakeholder pensions
• Contracting out of the State Second Pension and paying Additional Voluntary Contributions
• Must I provide a stakeholder pension?
• Providing a stakeholder pension - key steps