Introducing the Wesleyan Personal Pension Plan
The Wesleyan Personal Pension Plan is a tax-efficient way to save for retirement. With a range of funds to choose from, you can decide how your money is invested and make contributions that suit you.
You can move what you've built up in old pensions into the plan, allowing you to manage all of your benefits in one place and offering greater control over your financial planning.
Key features include:
- Combine all of your old pension pots (worth £10,000 or more) into a Wesleyan Personal Pension Plan
- Choose from a range of 12 funds, including our flagship With Profits Fund
- Reduce your risk as you approach retirement with lifestyling
- Make regular contributions or one-off lump sums
- Take an income from as early as age 55
What to consider when consolidating
If you’ve built up a number of pension pots as a way to save for retirement, it can be tricky to keep track of your contributions, investment performance and overall balance. This is where pension consolidation can help.
Merging your pension pots into a single plan means you’ll only have one provider to deal with, making it easier to manage your benefits.
Consolidation can also give you a clearer understanding of your total pension pot, allowing you to estimate your future retirement income and make any necessary adjustments to your contributions.
However, there are a few things to consider. Depending on the terms and conditions of your existing pension schemes, it may not be possible for you to move your old pension pots. It's also worth bearing in mind that if you are able to move them, you may encounter some costs throughout the process.
For example, you might incur exit fees if you choose to leave, and you’ll need to consider any costs associated with your new plan (such as investment charges or management fees).
Specialist pension advice
How the Wesleyan Personal Pension Plan works
With our Personal Pension, you simply pay into the plan with one-off or regular contributions, which we’ll then invest in your choice of funds.
With every contribution you make, you’ll benefit from at least 20% tax relief (subject to annual allowance). We’ll claim this for you and add it to your plan. If you’re a higher rate taxpayer, you may even benefit from more tax relief via your tax return.
Tax treatment can depend on individual circumstances and may change in the future.
By choosing from one or more of our twelve funds, you’re in control of the level of risk you take with your money.
Our award-winning team of Fund Managers look after your investments as you get on with life.
When it’s time to collect your benefits, you have the option to take your benefits while you continue to work, wait until your retirement, or leave your pension pot untouched to give your benefits to a chosen loved one.
If you’re looking to purchase an annuity from your pension pot, 'lifestyling' is an option that lets you enjoy the potential of good investment returns over the long term, while reducing risk in the five-year period before you’re due to start taking benefits.
It works by gradually switching the investments you’ve built up over the years (and any future contributions) to our lowest-risk fund as you get closer to your chosen benefit date.
And if you change your mind or prefer to take a more adventurous approach to investing, you can opt in or out at any time.
Ready to talk pension consolidation?
Frequently asked questions
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Can I switch my money between funds within the Wesleyan Personal Pension Plan?
Yes, you can move your money into one or more different funds of your choosing at any time (subject to fees and max limits). Wesleyan Financial Services can advise you on our range of funds and make any fund switches on your behalf.
You can make up to 12 fund switches in any 12-month period.
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How much can I contribute?
To receive tax relief, you can pay in up to £3,600 or 100% of your relevant UK earnings up to the annual allowance (£60,000 in 2024/25).
Your relevant UK earnings is the income you get in a tax year from your employer (or through your trade if your self-employed), including bonuses, commission and benefits.
You can find out more about this and the Money Purchase Annual Allowance (MPAA) in our Key Features document.
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How can I take my pension?
There are multiple ways to take your pension.
You can use some or all of your pension pot to buy an annuity, with up to 25% of your pot available as tax-free cash. With an annuity, you can get a regular guaranteed income, normally until you die, though you can choose to have an annuity for just a couple of years. We’ve partnered with Retirement Line, to help find the best annuity for you. You can also speak to your Specialist Financial Adviser from Wesleyan Financial Services if you would like advice about buying an annuity.
If you have more than £30,000 in your pot, you can collect your pension through flexi-access drawdown with Wesleyan. With this option, your pension stays invested while you draw a variable income from it. You continue to benefit from any investment growth on your remaining pot. Again, you can take up to 25% of your pension pot tax-free. You can also carry on making contributions, move in another pot, or even delay taking an income until you need it most. If you are considering this option, you will need to get advice from your Specialist Financial Adviser.
For a flexible way to enjoy your personal pension, you can dip in and out of your pot as you like by taking cash lump sums. In doing so, you'll have the freedom to adjust the amount and timing of your cash lump sums to suit your changing income needs throughout retirement.
Important information
Charges
Initial charge
If you take financial advice, a 3% initial advice fee applies to each payment, additional subscriptions or transfers.
Annual Management Charges
There's an Annual Management Charge of 1%.
Please note, if you're opted in to Wesleyan Financial Services' Ongoing Advice Service (OAS), the Annual Management Charge is 1.5%.
Market Value Reduction
If you switch out of the Pension With Profits Fund, take an income or tax-free cash, or die, we may apply a Market Value Reduction (MVR). This is an adjustment which reduces how much you get back at certain times (for example, when share prices are generally low).
You can find out more about this by speaking to your Specialist Financial Adviser from Wesleyan Financial Services.
Key documents
Before your appointment with a Specialist Financial Adviser, you may wish to read:
Tax treatment depends on the individual circumstances of each client and may be subject to change in future.