To explore your options, start by making a list of the pensions you’ve got. 

Pension providers will usually send you a statement each year. However, if you’ve moved several times, you may have lost track of a pension or two. If you need help to locate your old pensions, try the Pension Tracing Service Pension Tracing Service This link will open in a new window.

Once you’ve listed all your pensions, contact each provider and ask them for details of your scheme – and keep all your paperwork together.

Before you transfer your pensions into a single pot, you need to be sure it’s the right thing to do. Some pensions may charge you for transferring out, while other types of schemes offer benefits you might want to keep.

Take a close look at each of your pensions and ask yourself the following:

Do I have a final salary pension?

It almost certainly makes sense to stay in a final salary scheme – also known as a defined benefit scheme. That’s because it offers a guaranteed income for life, which may rise with the cost of living. It may also offer a pension for your spouse or partner when you die.

If your pension is a defined contribution or money purchase scheme, this isn’t a final salary scheme so it may be worth transferring it.

Does my scheme offer generous guaranteed annuity rates?

Annuity rates – the rate at which you convert your pension savings into a guaranteed annual income – are exceptionally low and may remain so for many years. So, if you’ve been promised a good rate, it could be worth holding onto if you want the security of a higher guaranteed income for life.

Are there any exit fees?

These might kick in if you move your pension pot to another scheme. If they’re high, moving your money could be a false economy.

What are the pension scheme charges?

Most schemes charge an annual percentage of your pot to manage your pension. But some also charge a monetary fee, such as £100 each year, on top of the percentage charge.

Make sure you know what charges apply to your pensions, as high fees can eat away at smaller pots.

The value of investments can fall as well as rise and you may not get back the amount originally invested.