It is no doubt that one of the essential parts of your retirement plan would be to have a pension plan. There are different kinds of pension plans – the employment-based pensions, social and state pensions, and disability pensions.
Most of the time, employment-based pensions require both employer and employee to contribute some money to a certain fund during the entire course of the employment. It is a tax-free savings fund that will be untouched until the employee is of retirement age, and will serve as his or her monetary benefit when the time comes.
Social and state pensions
In many countries, the government has created funds for its residents to provide for their retirement income. Most of the time, this would entail contribution during the citizen’s employment life to qualify for the benefits when needed. Basic state pensions are contribution-based benefits, usually depending on how much an individual has contributed from the moment he or she started working until the day he or she retires.
Social pensions, on the other hand, are tax-funded non-contributory cash transfers being paid to retired people. These are universal benefits, meaning all retired residents of the country would be receiving compensation regardless of their income, assets, and employment record.
Most of the time, disability pensions are early entries into retirement plans. These are for disabled members who have not yet reached retirement age.
If you have an existing pension plan in the United Kingdom, but are currently residing outside of the UK, you may want to contact Tim Carroll UK Pensions Transfer LLC. It is a company that provides research into its clients’ existing pension plans – absolutely free of charge. Tim Carroll UK Pensions Transfer LLC would act solely as an advisor, in respect of UK pension plans held by non-UK residents.