Rules For Pensions

Are you on a career break? In the past it was only workers and taxpayers who could pay into most pensions. But now anybody can – amazingly enough you can even open pensions for newborn babies and pay contributions on their behalf so their fund has the longest possible time to grow before they cash it in.



These lucky children apart, the biggest beneficiaries of the new pension rules are full-time parents. They can start new pensions or carry on paying into existing ones even if they don’t have any taxable income of their own. Many women who are looking after children use their savings to keep topping up pension plans, or have contributions paid by their partners until they are back at work. Experts say broken pension records are one of the key reasons why so many people have very little to live on in retirement. So anything that lets you keep funding a pension is likely to be a good thing.