| | | Why use Sipps PensionsIf you own a buy to let property, are hoping to start investing in buy to let property, or would like to take charge of your own pension affairs then using a SIPP may be the right thing for you. SIPPs Pensions have been around since the early 1990s but from April 2006 the regulations regarding access to Sipps Pensions and what assets can be held in a Sipps Pension are changing. This will have the effect of making SIPPS Pensions a viable option for large numbers of people who currently pay into an Employers Pension Scheme or a Personal Pension Plan. In effect Sipps Pensions enable you to take a hands on approach with regards to your pension arrangements. Sipps provide you with flexible planning arrangements for your personal pension. The great thing is that Sipps provide you with the ability to personally invest up to £215,000 per year, starting in 2006. If you really want to boast the size of your pension fund you are also free to invest up to 100% of your income. Currently you are only allowed to invest between 17% and 40% of your income each year depending on your age. The new Sipps on offer from 2006 will be great for investment property owners and holiday home owners who will be able to wrap their property investments up in a Sipps Pension fund. The new changes will also allow overseas investment property to be included in a SIPP Pension. It is important to remember when doing this that there may be complications with buying a property in another country with your SIPPS Pension Trust and that the tax advantages can change quite dramatically. You are also able to manage your own investments in the Stock Market through a SIPP without the need of an individual fund manager or pension company. It is not wise to consider shifting your Pension portfolio over to a Sipp Pension without first getting sound financial advice and making sure that you have the time and knowledge available to make the right investment choices. |
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