Home Advice Do I Need to Hire a Financial Adviser For My Pension?

Do I Need to Hire a Financial Adviser For My Pension?

by James McGregor

Pension is one topic most people get uncomfortable with when discussing their retirement plans. Moreover, most people are more confident in choosing general insurance products and savings over pension products. Are you struggling to decide whether or not you need a financial adviser for your pension? Here’s a spoiler, the question is not really “if” you need one but “when.”

It is why many are hiring financial advisers to help with their pensions. To help you decide when to hire a financial adviser, here are some things you should know.

Why do you need a financial adviser for your pension?

You need to hire a professional to get pension advice Kent especially for this living in Kent for local situations when it is required by law. There are also cases when it is up to you to ask a financial adviser for help.

To explain it better, here are some cases when hiring a financial adviser for pension is required by law:

You are going to cash in your pension

The law requires people planning to cash in a definite benefit pension to seek financial advice. It is regardless of the amount in your plan. Because the guaranteed income provided by such final salary schemes is much valued, cashing in this form of pension is probably not wise. You should seek financial advice when you are planning to cash over a £30,000 defined contribution pension.

You are transferring your pension

A financial adviser is also necessary when you’re about to transfer a defined benefit pension to a defined contribution pension more than £30,000. It is mandated by the Financial Conduct Authority to prevent people from making wrong financial decisions in risky and complex areas. The financial adviser will handle the liability and risk of the pension transfer for you.

Should I ask for financial advice for managing my pension?

It’s up to you to seek financial advice or go DIY in managing your pension. However, you might need to ask a financial expert for advice if you choose a self-invested personal pension. A financial adviser can help you grow your pension faster and choose the best funds with excellent security. They can do the following:

  • Keep you organised and updated to guide you to your important goals.
  • Assist in managing funds flexibly.
  • Make you at ease as receiving expert help makes you feel like you’re doing the right thing.
  • Suggest refinements after conducting regular reviews of your investments.

Do you need a financial adviser to access regular pension income?

Consulting a financial adviser when accessing your pension is not a legal requirement. However, it might be a critical period wherein you must seek financial advice from a professional. You have to be prudent at this point in your life because your decisions can affect you for the succeeding 20 to 30 years. 


To sum it up, there are a lot of advantages to hiring a financial adviser for your pension. Whether it is legally required or your personal choice to hire one, it is always wise to seek financial advice from a professional.

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