Why you might consolidate your pensions
Consolidating your pensions simply means combining them. If you’ve had jobs at different companies over the years, you could have pensions from them all, scattered across different providers. Consolidating them is like tipping each pot into one bigger pot, so you can see exactly how the money you’ve put away is shaping up.
And remember, the value of a pension can go down as well as up – and you could get less than the amount that's been put in.
Before you apply to transfer
Benefits of consolidating pensions with us
Things to think about:
- Exit costs
We won’t charge you if you transfer your pension to us. However, your existing pension provider might have an exit charge. Be sure to check with them first.
- Investment fees
Before transferring your pension, compare your current fees and charges with our pension costs. We keep our costs as low as possible. However, before you make the move, you should understand the different fees and charges, and check that everything makes financial sense for you.
- Pension benefits and guarantees
If your existing pension has benefits or guarantees you're relying on, you may lose these if you transfer. These might include pensions with a safeguarded benefit such as a guaranteed income, or valuable benefits like getting more than 25% of your cash tax-free. Other benefits could include loyalty bonuses, enhanced life insurance or death benefits, or early access to your money or pension.
- Putting your investments on hold
If you transfer funds they stay invested, so will be subject to any market gains or falls. You won't be able to trade them while the transfer is going through. If you choose to transfer the cash value, it won't be subject to market volatility, but you'll also need to factor in the time it takes for your cash to be re-invested in funds.
- It’s not certain you’ll be better off
There are never any guarantees about how investments will perform over time. Which means that combining two or more pensions does not promise you’ll have more money in your retirement than you would if you kept them separate.
- Pensions you won’t be able to move:
- Defined contribution pensions with a guaranteed annuity rate, safeguarded benefits or guarantees
- Defined benefit pensions
- Pensions you’ve already taken money from
- If you have a workplace pension, you'll need to talk to your employer before transferring, as a transfer may mean they stop paying into it.
If you're not sure about any of these points, we recommend that you get financial advice first. For some pensions you must take advice before you transfer. If you don't have a financial adviser already you can find one at Unbiased - there will be a charge for advice.
If you plan to open a new SIPP and transfer any pensions into it, make sure you read and understand all the details before you apply.
Investments and charges for our SIPP
How to choose investments
There are five ways to invest in our SIPP.
What are the investment charges?
We won’t charge you for opening a SIPP and there’s no charge to transfer your investments to us. However, your existing provider may charge you for leaving them, so you’ll need to make sure it all adds up before making the move. Once you have a SIPP with us, these are the charges you can expect to pay:
You'll pay an Aviva Charge of up to 0.40% for the value of your funds or cash, depending on how much you invest.
For example, if you have £5,000 of funds or cash with us, your Aviva Charge will be £20 a year.
There's also a Fund Manager Charge that will depend on the funds that you've chosen. This charge is included in the price of the fund.
We won't charge you for buying or selling funds.
Shares and other exchange traded investments
We have an Aviva Share Charge for managing those investments. It's 0.40% of their value, up to a maximum of £120 a year.
For example, if you have £5,000 of shares or exchange traded funds with us, your Aviva Share Charge will be £20 a year.
There'll be a Fund Manager Charge for exchange traded funds and investment trusts that will be included in the price of the investment.
When you buy shares and other exchange traded investments, there'll be a Trading Charge for every trade you make.
There may be other charges you’ll need to be aware of – you can read more about these on our charges page.
How it works
Pension transfer FAQs
Can I transfer a pension that my employer pays into?
Is there a charge to transfer my pension?
How long does it take to transfer a pension?
Transferring into another type of pension with us
Most of the detail on this page is about transferring into our SIPP. You may also be able to transfer into one of these types of pension if you already have one with us:
- A workplace pension
- Another type of personal pension
- A pension you applied for in person, over the phone or by post
If you’re not sure what type you have, follow the link to point you in the right direction – it’ll help if you have your policy number handy.
Confused about how to plan for your retirement? You’re not alone – everyone approaching retirement has more pension options to choose from than ever before. If you have total pension savings of £75,000 or more, the Aviva Financial Advice Team can guide you on all your financial planning options.
Advice is also available for defined benefit pensions, sometimes called final salary pensions. Find out more on the defined benefit advice page.
Put more pieces of the pension puzzle together
Platform provider: Aviva Wrap UK Limited. Registered in England No. 4470008. Aviva, Wellington Row, York, YO90 1WR. Authorised and regulated by the Financial Conduct Authority. Firm reference number 231530.
Pension product provided by: Aviva Pension Trustees UK Limited. Registered in England No. 2407799. Aviva, Wellington Row, York, YO90 1WR. Authorised and regulated by the Financial Conduct Authority. Firm reference number 465132.