Nov
22
2010
Umbrella company contractors 'can get a decent pension'
Posted by Daniel Frost
Contractors with umbrella companies have been told how they can achieve a decent pension to last them once retirement comes around.
Dr Ros Altmann, the director general of Saga Group, believed that two key elements which should figure into any saving a pension are a decent income, along with low expenses to pair with it.
She commented: "I fear that unless people are on a decent salary, and have low expenses, they are unlikely to be able to save enough to provide a decent pension in just ten years."
Dr Altmann went on to say that those with umbrella companies who choose not to follow this pattern will chance to find it hard to work up a considerable pension, noting that it will only be some luck with high risk investments that could steer them to a comfortable retirement.
If this does not occur, then she predicts that company umbrella contractors may have to either consider a part-time job, retiring at a later date than expected or even dipping into equity from their property.
The advice from Dr Altmann follows recent research from LV=, which found that 2.7 million over-50s are continuing to work for the fact that they cannot afford to retire.
Contractors with umbrella companies have been told how they can achieve a decent pension to last them once retirement comes around.
Dr Ros Altmann, the director general of Saga Group, believed that two key elements which should figure into any saving a pension are a decent income, along with low expenses to pair with it.
She commented: "I fear that unless people are on a decent salary, and have low expenses, they are unlikely to be able to save enough to provide a decent pension in just ten years."
Dr Altmann went on to say that those with umbrella companies who choose not to follow this pattern will chance to find it hard to work up a considerable pension, noting that it will only be some luck with high risk investments that could steer them to a comfortable retirement.
If this does not occur, then she predicts that company umbrella contractors may have to either consider a part-time job, retiring at a later date than expected or even dipping into equity from their property.
The advice from Dr Altmann follows recent research from LV=, which found that 2.7 million over-50s are continuing to work for the fact that they cannot afford to retire.