If you’re a typical Master Investor reader there’s every chance that at some stage you’ve been a member of a Final Salary Pension Scheme with a former employer. Or maybe you’re still in the job. Whatever the case may be, it’s likely the scheme doesn’t take any payments from staff anymore or allow new employees to join. So what? I hear you ask.
Well unless you’ve been living in a cave for the last few years, you will have noticed that these “antique” group savings schemes are allegedly in trouble, thanks to a long history of poorly thought-out legal changes and years of mismanagement. And that’s just for starters.
As if that wasn’t bad enough, the previous Chancellor of the Exchequer, George Osborne, faced with a shortage of tax revenues, decided folks sitting in pension plans worried about retirement income were an easy target….