What are your Pension Options, what are Annuities and aren’t FURBS an old Christmas toy craze?

Self-Directed Pension Funds

Self Directed Pension Funds (ISA) offer the tax efficiency of pension arrangements combined with control over the underlying investments. A Self Directed Pension Fund is any pension arrangement where the member has control of the underlying investments. Up to 5 April 2006, such arrangements were available either as a Self Invested Personal Pension (SIPP) or a Small Self Administered Scheme (SSAS). A SIPP was a personal pension with widened investment powers and a SSAS was an occupational pension scheme where the members were trustees and able to control all investment decisions. These distinctions are still used today but are technically incorrect as all arrangements are registered pension schemes, governed by the same rules. The arrangements are now either trust based arrangements or cont... »

Taxation of Pensions

The current Pensions regime came into force with effect from 6 April 2006 although there have been further amendments subsequently. The rationale for the new regime was ‘simplification’ although the legislation has now become relatively complex. The thrust of the legislative change was to create one overriding set of rules to apply to all pension provision. This has, with a few notable exceptions, been achieved. This document outlines the broad principles governing pensions today. Contributions There is no limit on the level of pension contributions that can be made for any individual but the nature of tax relief and tax penalties effectively create limits within the regime, as follows: Contributions of up to £3,600 can be made for any individual under age 75 attracting b... »

Pensions A-Day

New rules in relation to pensions came into force on 6 April 2006, commonly referred to as A-Day . The changes affected everyone involved in pension planning and were introduced in the name of simplification. Essentially, the changes unified the existing pensions legislation at the time to create a new basis for the operation of all pension arrangements. For some, this meant improvements in their position, but for others there were further restrictions and, potentially, additional tax liabilities. Tax Relief Individuals will be eligible for relief at their marginal rate of tax on contributions into pension schemes. This relief will be available on contributions of up to 100% of the individual’s annual earnings or £3,600 (if greater). For higher earners, tax relief will only be ... »

Your Pension Options

Introduction to Your Pension Options Everyone needs to plan ahead for retirement. The basic State Pension will give you a start but you’ll need to build up a second pension to make sure you have the lifestyle you want in retirement. And the sooner you take one out, the better. To help you, this introductory guide tells you about the different types of pensions you can get, raises some of the questions you may need to think about, and tells you where you can find more information. Other guides in this series will give you more information about particular areas of pensions. See details about how you can get copies of these guides. These guides can give you helpful information, but only you can make decisions about your pension. »


FURBS is an acronym for Funded Unapproved Retirement Benefits Scheme. Now known as an EFRBS or Employer-Funded Retirement Benefits Scheme, these are unapproved schemes with no tax relief that an employer funds to provide a member with a lump sum and/or an income. »