Free Standing Additional Voluntary Contributions (FSAVC)
As a member of a company pension scheme, FSAVCs allow you to make additional voluntary contributions separately of any pension provided by your employer.
Average life expectancy is increasing so saving in a pension - and topping it up - is a prudent way of helping to fund the lifestyle you want in retirement. Read more about the benefits of topping up.
- Tax-efficient saving* - FSAVCs qualify for tax relief and you can take a tax-free cash lump sum on retirement. Read more about the tax benefits. Please note that pensions in payment are taxed as earned income.
- Flexibility - you can vary, stop and start, and make regular and/or lump sum payments at any time, even if you change jobs. Note that charges will still be applied and deducted and that any changes to your contributions will impact on your benefits at retirement.
- Range of funds - your pension contributions can be invested in a choice of funds. The funds you can choose from may vary depending on what funds are actually available at the time. Note that the value of your fund may fluctuate and you may not get back your original investment.
*The above is based on our understanding, as at April 2013, of current taxation, legislation and HM Revenue & Customs practice, all of which are liable to change without notice. The impact of taxation (and any tax relief depends on individual circumstances).