Join the Pension Treasure Hunt: Find and Reclaim Your Lost Pensions

National Pension Tracing Day takes place on Sunday 26 October, and is a timely reminder to go on a pension treasure hunt, to dig into your financial past and uncover any pension pots you may have lost track of over time. 

There are an estimated 3.3 million unclaimed pension pots in the UK, with a combined value of £31.1 billion. That works out at an average of nearly £9,500 per pot. For people aged between 55 and 75, the size of the average lost pension pot is even higher. 

On early Sunday morning the clocks go back, giving you an extra hour. Rather than spending that extra hour in bed, why not use it to see if you have any lost pensions? Go back through your past employment records and pension statements and start tracing any lost pensions. 

It’s very easy to lose track of a pension over time. Through changing jobs, moving home, and switching providers, it’s easy to forget to update a previous pension scheme. However, there are steps you can take to access your lost pension pots and begin to plan your financial future.

How to access your lost pension pots:

1. Gather your employment history
   Go through your CV, old payslips, tax records and any documents from past jobs. List each employer and the periods you worked for them.
2. Search your records for pensions
   Look for pension statements, old emails, or paperwork that mentions scheme names, providers or plan numbers. That information can be crucial in tracking down the right fund.
3. Use the government’s Pension Tracing Service website
   If you don’t know which scheme holds your pension (or if the scheme has changed hands) the official Pension Tracing Service can provide you with contact details based on what you can find or remember (employer name, address, your role etc).
4. Contact providers and confirm your details
   Once you identify a pension provider, reach out to them with your personal details (e.g. National Insurance number, date of birth, addresses where you lived, employment dates). Ask them whether you have a pension there, its current value, and how it is invested.
5. Decide on what to do with the pensions you find
   You may choose to leave them as they are, or transfer/consolidate them to a different scheme. But don’t rush into consolidation - that decision can have implications (tax, benefits, fees, loss of guarantees). A qualified Independent Financial Adviser (IFA) can help you to decide.
6. Keep your details up to date
   For all of your pensions, make sure the provider always has your correct address and contact information so that you don’t lose touch again.

Finding and identifying your pensions is one thing — managing them wisely is another. That’s where a qualified IFA can help. Here’s how:

• Independence: An IFA is not tied to a particular provider or product, and can give advice free of bias.
• Expert review: Once your pension pots are located, an IFA can analyse them in the context of your entire financial picture: your goals, risk tolerance, time horizon, tax situation, and other assets.
• Advice on consolidation or transfer: Consolidation is not always the right move for every pot. An IFA can guide you through the advantages and disadvantages, preserving any valuable benefits or guarantees and avoiding penalties.
• Ongoing management: Your adviser can monitor performance, manage charges, and provide ongoing advice to adjust your strategy as life changes.
• Clarity and confidence: Your adviser can translate pension jargon into understandable terms and help you make informed decisions you feel comfortable with.

If you don’t already have a financial adviser, Pension Tracing Day is an excellent trigger to seek one. 

Albert Goodman Chartered Financial Planners is an independent and FCA Authorised financial planning firm. Our financial consultants offer a free initial meeting to discuss your aims and objectives and plan the next steps together. To find out more visit https://albertgoodman.co.uk/financial-planning