With more and more of the workforce having to be flexible and fewer and fewer young people heading for a job for life or even a career directions for life remind them about personal pension options.
The alternative private pension or personal pension, is offered by a provider such as an insurance company, High Street bank, building society or most typically, a pension company. You do not get any contribution into this from your employer, but it may offer more flexibility over how and where the money is invested.
The success of the investment and the fees charged by the provider will determine how much you get on retirement.
Remind them that at the moment you have to do most of the legwork especially if they are self-employed.
They will have to go and sort this out but you can also inform them that from 2012, the government wants all firms to offer a pension to their workers and they will be enrolled automatically unless staff opt out.
If employers do not offer membership of a pension scheme, they will have to enrole their staff into the new National Employment Savings Trust (Nest) set up by the government. To be enrolled, staff must be aged 22 or above, earn more than £5,715 a year, and have been in the job for at least 13 weeks.
Pensions experts have suggested that contributions into this scheme will still not be enough for today's young people to have a comfortable old age, but the Pensions Minister Steve Webb says it will get youngsters into the habit of saving for retirement.
If like many young people they are not so keen to heed the advice of their parents why not put them in touch with an IFA. Enable Independent of Bishop's Stortford will happily give advice to any young person wanting to plan for their future.
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