Example of how you can benefit from a stakeholder pension

Parveen is a self-employed fitness trainer in her late twenties, earning about £16,000 a year. She has recently bought a flat with a friend, and now that the initial expenses are out of the way she thinks that she can afford to start a pension. Parveen has considered the information on stakeholder pensions, including the ‘decision trees’ (see the directory for details), and this has helped her to decide that a stakeholder pension would be suitable for her. She likes the idea that she can put in small, regular payments and top these up when she can afford to.