Pensions Guide | Pensions Help Product Information | How Do I Pay Into a Stakeholder Pension?

If your employer is providing access to a stakeholder pension scheme, you can ask them to deduct your pension contributions direct from your pay. You will need to tell your employer how much you want to pay in and agree with them how often. You can also choose to join a different stakeholder pension scheme from the one your employer is providing access to (unless
your employer is exempt). If you did this, it would be your responsibility to pay your contribution direct to the stakeholder pension scheme. The scheme provider would tell you how to pay in.

Stakeholder pensions are flexible. If you want to increase, reduce or stop your contributions, you can. This flexibility means you can change how much you pay, or how often, without having to pay an extra charge. However, if you are paying your contributions through your employer, you may only be able to change the amount you pay every six months.

Stakeholder pension schemes are not allowed to make extra charges if you stop paying, or if you want to transfer to another scheme.

You can also carry on paying into a stakeholder pension if you stop working but you can still afford to make pension contributions.

If your circumstances improve, you can increase the amount of money you pay into your stakeholder pension, in line with the overall tax limits.

Your stakeholder pension will be based on how much money you have contributed and how well the fund has grown through investment performance. So, if possible, it will be better if you can make regular payments into your stakeholder pension.