1.Find an Independent Pensions Transfer Advisor

Pensions law and regulation is so complex and changes so rapidly, that you really do need good advice when it comes to transferring your pension. An independent advisor isn't tied to any particular product, and has access to all the information you need to make an informed decision. In addition, they will be aware of the latest changes to the pensions regulations, ensuring that your transfer falls within the rules. They can check the current value of your existing pension and compare it to the performance of other similar schemes on the market. Don't transfer your pension without consulting an expert.

2.Check Benefit Levels

Each pension scheme has a different level of benefits. Whilst some are very generous, others are not, and you want to be sure that you are transferring to a pension that has equally good, if not better, benefits than your current scheme. Your pensions advisor can help you to check benefits levels and talk you through which are the most important to hold onto.

3.Growth Levels

If you are transferring a pension, there may be a period where the new scheme needs to grow to the size of your original pension fund. For this reason, you should ask your pensions advisor to check growth levels to see which funds are likely to return your investment to its current level the quickest.

4.Nominations

Make sure that you can nominate one or more beneficiaries for your pension scheme and that the pension fund manager will honour your nomination. If you die before retirement, your pension entitlement will be paid to your nominated beneficiary or to your estate. To make sure that your pension goes to the people you want it to, your nominations need to be accurate and, if necessary, you should reinforce them in your will.

5.Retirement Age

If you are transferring your pension less then 10 years before retirement, make sure that your new scheme gives you the same rights as your old one. If you are intending to retire early, ask your pension advisor to check the value of your existing scheme and the scheme you want to transfer to. This will help you to ensure that you have a good income on your retirement.

6.Management Fees

The pensions industry is competitive and one of the key areas where pensions schemes compete is the management fee. This fee is usually applied annually and is calculated as a percentage of your funds. Many people choose to transfer their pension in order to obtain a lower management fee, so you should make sure that the scheme you choose has a management fee you are happy with.

7.Review

If you are considering transferring your pension, ask a pensions advisor for a review of your current situation. Once you have transferred your pension, it may be worth asking for a regular review, particularly as you approach retirement age, so that you can be sure that your pension is working for you.

8.Administration

You will need to ensure that you have all the paperwork relating to your existing pension scheme before you transfer. This paperwork is important when it comes to any contact you have with the company operating your pension scheme, and your pension advisor will need it in order to effect the transfer. Similarly, when you get the paperwork for your new pension scheme, keep it in a safe place so that you can access it easily when you are coming up to retirement.

9.Target Income

If you are transferring your pension scheme when you are still a long way from retirement, you may want to look at the level of contributions you are making. Talk to your pensions advisor about your desired target income, which will help them to work out the payments you need to be making into your new pension scheme.