I am due to retire next year, will my pension funds be worth less now because of the world financial crisis?

Bank rates are down, banks are going out of business, shares are becoming worthless, property value is rapidly fall! Will these affect peoples future pensions? Are pension funds protected in UK??????I am due to retire next year, will my pension funds be worth less now because of the world financial crisis?
Speak to your fund manager. If you have a private or work pension they should be in contact with you to advise you on the best course of action. There are steps you can take before you retire to get the best deal from your fund. Your state retirement pension will not be affected by the current situation - unless the whole country goes bust - then we will all be in big trouble!!!I am due to retire next year, will my pension funds be worth less now because of the world financial crisis?
Yes, your pension will be worth almost nothing...Soz but start getting used to eating cat food now!I am due to retire next year, will my pension funds be worth less now because of the world financial crisis?
If you have a private or stakeholder pension then it might be affected.



It mainly depends on whether you are in a final salary or defined contribution scheme. If you are in a final salary scheme, then you are fine. However, it's more likely that you are not. Your pension provider should have been moving you pension investments out of shares progressively as you approach retirement, to reduce the risk at the time it has to start paying out.



You really should contact your pension provider for the best information. If you are in a stakeholder, or defined contribution scheme, then you should have the option of delaying buying an annuity, until the stock market recovers somewhat. (That might delay the first pension payment until the point when an annuity of purchased, but should increase the amount you would receive in every pension payment.)



Pension funds are protected to some extent, although not fully. I think that the law has recently changed to offer more protection than it did do. (DON'T look up Allied Steel and Wire pension scheme if you don't want to be worried.)



Your (first and second) state pension(s) will be entirely unaffected the the credit crunch.