hispageek.net

Tax time is coming around again. I’m reminded because I just placed my order for the 2007 version of TurboTax, which is a software application that guides me through federal and Pennsylvania tax return preparation. The damn tax code has become so complex, you really need either a good accountant or a tax package to get it right.

Taxes are everywhere, on everything. Federal income tax, Social Security, Medicare, federal death tax, Medicaid, state income tax, state sales tax, state death tax … let me catch my breath. Certain cities or counties get you for an income tax or a wage tax or maybe even a sales tax. Then there are the smaller but still irritating levies like federal and state gasoline taxes, the state automobile registration tax, the hotel room occupancy tax (talk about taxation without representation!) and the federal telephone taxes (check out your phone bill for the beloved Federal Subscriber Line Charge and the smaller, but still irritating Federal Universal Service Fee). And if you have a small business, well, I won’t get into that.

They tax you when you earn, they tax you when you buy and they tax you when you die. Whatever you do, the Taxman has his hand in your pocket. If they could figure out how to do it, they’d tax you for bodily functions. Maybe a little meter on the toilet. Two cents per flush. Wireless, of course.

And think about the skillions of hours that are wasted on tax planning, preparation and collection. Tax attorneys, tax accountants, tax return software, IRS employees, state and local tax collectors, they are all working day and night on our taxes. While you’re sleeping innocently in your bed, an IRS computer is selecting you for an audit. And if you are in a hotel, you’re paying tax to sleep while that IRS computer is humming away. Your federal government at work.

I read somewhere that the top half of earners pay 96% of federal income taxes while the lower half pays 4%. The principle that a person with a larger income should pay more in taxes is fair, but 96% seems a bit extreme. Every citizen with a decent income, it seems to me, should pay something in taxes. Even if it’s only a couple of bucks withheld from each paycheck, at least you’re holding up your end as best you can.

My personal choice would be for a flat income tax. No tax on the first twenty five grand, then 15% on everything after that. Or something similar. Allow a few deductibles such as spouse and children, mortgage and medical. Keep it really simple, so that a normal person could file their return without screaming. That’s right, tax prep would become the no scream zone. Maybe even no cursing … okay, I lost my head. Anyway, I enjoy cursing at my return.

It’s interesting that our government has too much money and yet not enough. A duality that would interest a quantum mechanics researcher. Here’s the issue: the government needs more money to fund entitlements such as Social Security and Medicare, but a big tax increase might plunge the economy into recession. And recessions are not good for incumbent politicians.

The simple truth is that people should be allowed to keep the bulk of the money they earn. They know what they need better than a government bureaucrat. Plus, the more an entrepreneur can keep, the more likely she is to invest her money in a small business, and that’s what drives the economy. JFK knew that and so did Reagan and Bush 43.

Entitlements are out of control. Already Medicare has more money going out in benefits than tax payments coming in. Social Security is still in the black, but economists predict 2017 as the date it goes into the red. To fund these deficits, the government has to increase its borrowing, raise taxes or divert funds from other programs. These are not good alternatives, so why don’t we actually try to fix these creaky old programs. To put it bluntly, they suck. No rational young person would invest his money in Social Security if he had a choice. Let’s fix the damn thing!

Unfortunately, it’s not going to happen. Here’s a bold prediction — they’ll eventually put together a bipartisan, blue ribbon, lip smacking panel of old pols and they’ll recommend … hold your breath … raising Social Security taxes.

Let’s face it, we fifty plus citizens are pretty demanding. We coughed up money supporting prior generations, so we want our fair share of the benefits when we get older. Without these entitlements, many baby boomers will have a tough retirement. If you can afford to retire.

But let’s be fair and look at it from the point of the twenty something working stiff. The ratio of retired persons to workers is getting worse year by year. A young guy or gal has forty or fifty years of ever increasing Social Security taxes to pay. They are not happy and I don’t blame them.

Dan Ronco’s expertise in engineering and computer science infuses his fast-paced techno-thriller Unholy Domain with detail and authenticity. His second novel, it warns of the looming clash between religion and advanced science. Visit Dan Ronco.

Reading charts is a tricky thing, one you need training to do successfully. A person without training will see simply up-and-down moves with no meaning. Those trained in analysis, however, can discern the meaning of these sometimes seemingly random movements. Those ‘in the know’ can use the charts to see what the future holds for stock prices. There is not necessarily one pattern that can be used to make good predictions but when the dozens and dozens of different patterns, all of the indicators, are taken together, those with practice can be very good indeed at anticipating future market movements.

Stock Price Patterns - One commonly used pattern to watch for is Cup and Handle. A high price to start then a dip and then back up forms the cup. Then when prices level out for a bit you have the handle. Buying on the handle can bring you quite satisfactory profits.

Head and Shoulders is another commonly watched pattern to look for. The first shoulder is a peak in price. Then follows a dip, then a second, higher, peak forms the head. This is followed by a dip and then the rise that forms the second shoulder. This is interpreted bearishly and you should look for prices to fall significantly after the second shoulder.

Moving Average - Hands down, the most used indicator is the Moving Average. For a 30 day moving average the Average price over time is calculated by adding the closing prices each day for 30 days together and then dividing by 30. Moving averages are also frequently used for 20, 50, 100 and 200 days. Moving averages are plotted onto a graph as a line that goes up and down as the price changes. When you see prices fall below the moving average they often will continue that fall. On the other hand, a rise above the moving average often signals a continued rise.

The Relative Strength Index (RSI) is used to analyze the number of days a stock ends up with the number of days it finishes down. It is calculated as follows. You take the closing price of a particular stock over a certain period, (usually between 9 and 15 days) divide the average number of days with an up finish by the average number of days with a down closing. Then add this number to one and use the result to divide 100. Subtract that result from 100. This gives you the RSI, which has a range between 0 and 100.

Often an RSI above 70 is a signal that a particular stock is overbought and a fall in price can be expected. Conversely, an RSI below 30 can be a good signal that it is time to buy. Of course, these numbers must be used in conjunction with an appreciation of how the market stands as a whole. What is a high or low RSI varies between a bull and bear market. If you chart RSI over longer periods the movement becomes less abrupt so looking at charts that cover a year or more gives a good indication of how that stock normally moves against its RSI.

Unlike the RSI, which follows only stock prices, The Money Flow Index, also known as MFI, also includes the number of shares traded. This indicator also varies from 0 to 100. As with the RSI, 30 is usually a good place to look at buying and 70 is where selling should be considered. And again as with the RSI, tracking the MFI over longer periods gives a more accurate result.

For Bollinger Bands three lines are charted on a graph and read together. Market volatility is measured in the upper and lower lines. A more volatile market moves the lines apart and when the market is quieter the lines move toward each other. The simple moving average is plotted on the middle line. When prices rise toward the upper line it signals that an overbought stock is due for a fall in price. As you would expect, then, when the market price falls toward the bottom band a rise in price should be expected. Of course, no single indicator should be used in isolation. Those who succeed as technical analysts consistently look at a number of indicators before making trading decisions.

Stop wasting precious time, energy, and money searching for the latest Online Stock Trading Software tips, tools, and techniques by visiting http://www.YourInvestmentOptions.com - a popular website that specializes in providing the best info on stock trading and investing for traders of all skill levels.

Individual voluntary agreements, otherwise called IVAs, are a process in the United Kingdom that an individual may be eligible for if they are deeply in debt but want to avoid bankruptcy. An IVA is an agreement that is agreed upon between the creditors and the individual. The amount will vary greatly and is dependent upon the borrower’s own situation. Creditors are not required to agree with the amount in an individual voluntary agreement but they usually choose to do so because IVSs provide a better return for creditors than bankruptcy would. There are many pros and cons attached to these agreements and it’s important to understand them before committing to it.

One benefit is that a person’s financial situation can remain confidential. Bankruptcy announcements are often broadcast in the newspaper but this is not so for IVAs. Although creditors may still consider you a risk because it does appear on your credit report, the agreement is solely between you and the creditor. Another positive aspect of IVAs is the amount of time they are effective. While bankruptcy runs out after one year, an IVA policy may cover as many as five years! The cost of a bankruptcy is also much more expensive than that of an IVA.

An IVA also holds many more benefits than other debt management systems when it refers to the protection that it provides. Once a creditor has agreed to a set amount, they cannot withdraw from the agreement. This cannot always be done in other debt management processes. Once a creditor has agreed to the IVA, they are bound to that agreement and cannot decide not to partake in it at any point. An individual voluntary agreement will show up on a credit report just as a file for bankruptcy would however, they do show a willingness to repay the debt whereas with bankruptcy, a borrower has claimed that they are not paying the debt back.

Individual voluntary agreements can also work better in business than bankruptcy. Should a partner in a company file for bankruptcy, they would generally need to dissolve the partnership of the company and they would also be required to tell any suppliers that they have filed for bankruptcy.

If a borrower should apply for credit and a creditor looks at their credit report, the IVA will show on the credit report, as mentioned above. However, this will not automatically dismiss the borrower as a good loan candidate. This would not be the case with bankruptcy as bankruptcy is considered to be the worst financial situation and no lenders will take on bankruptcy cases.

However, the main advantage to IVAs is that the borrower still has complete control over their home. This is not the case in bankruptcy and usually the home will be taken from the borrower and sold to cover the borrower’s debts.

One of the only disadvantages to an individual voluntary agreement is that it does appear on your credit report. It will only appear for a short period of time but it will still be there. Although this is a negative, it’s important to consider how important that really is. If you are deep in debt and considering an IVA the chances are that the credit report already has a few smudges on it and that even if it doesn’t, if you don’t do something to help yourself, such as an IVA, it won’t take long for the smudges to get there!

MoneySolve provides Individual Voluntary Agreements to prevent you from having to file bankruptcy. They are dedicated to help individuals in financial difficulty and specialize in effective debt management. They are highly experienced and have an effective debt management program which includes IVA.

A motor trade insurance policy is important if you work in a business that buys, sells, or fixes cars. Trade insurance protects the business owners and/or the individuals working in the business from financial loss should an unpleasant situation occur. No matter how big or how small the business, motor trade insurance is an extremely important part of running that business! However, because every business is different, there are many different types of motor trade insurance policies. The different types will offer different degrees of coverage, different premiums and different features.

There are five main types of trade insurance that you can choose from. These are the third-party only, also known as third part; fire and theft; comprehensive; liability; and a combined policy. When choosing among these options, you must determine what the needs of your business are to determine what type of policy will be best for you. Some different features included on motor trade insurance policy may include administrative benefits, and social and personal use of any vehicles to specified drivers.

One type of a motor trade insurance policy that is required by law for certain types of traders is the third party only motor trade insurance policy. The types of traders that are legally responsible to own such a policy are buyers and sellers; those working as mobile tuners; a repairs man, or a Valier or fitter. This is generally a type of policy that is needed if the insured is going to be working on cars. It’s a particularly important type because it holds the insured responsible should the repairs fail and someone get into a car accident. This type of insurance is especially important if the insured will be driving any car out on the road. Another option with this type of insurance is fire and theft. This type of motor trade insurance policy combines all the protection with the third party only policy but adds on protection in case of fire or theft.

The comprehensive policy includes the same type of coverage as the third party only policy but it also includes a comprehensive element. Comprehensive coverage is insurance that will cover the costs of repairing or replacing the insured’s car should it become damaged from the result of something that was not an accident. The liability type of motor trade insurance provides protection for a business that will be having the public on their property while providing a service for them. Liability coverage however, plays its most important role by covering the owner who hires the workers that are working on the vehicles. There are also three different types of liability coverage. These types are public; employers and product; and sales and service indemnity.

Many of the different types of trade insurance policies overlap one another and have very subtle differences. It’s very important to sit down with a professional motor trade insurance agent to find out what policy is going to suit you best. If an owner purchases a trade insurance policy that is not right for their business, they will likely end up paying too much money for their policy or finding out that they don’t have the proper protection at a very inopportune time.

QuoteMeToday.co.uk are expert motor trade insurance brokers, and have many years of experience in motor trade insurance.

“Group coverage” is used loosely to describe health insurance plans that are employer sponsored but there is a distinction between “Small Group” and “Large Group” health benefits which is important. Your company’s options can be quite different under these two umbrellas so let’s take a look at the how they differ both in terms of qualification and treatment under the law.

What is “Small Group” in terms of employer-sponsored health insurance In the State of California, Small Group health insurance is essentially employer-sponsored health insurance for companies with 2-50 employees. Eligibility requirements and protection is handled under AB1672.

First, “Guaranteed issue” is a very big advantage to establishing a Group health insurance plan in California versus other States. Regardless of the health of employees enrolling, the carrier must offer coverage to an eligible company. There are requirements that must be met by the company but the big three are 1) 2-50 employees/owners; 2) 75% of the eligible employees must go with the plan; and 3) the employer must pay at least 50% of the employee’s premium (does not mandate dependents). For more information on qualifying for Small Group coverage, please check our page of Small Group enrollment.

The ability of the company to change rates is also very important, especially for companies that have employees with health issues. In California, the carriers can up or down from the standard rate by 10%. This is called the RAF (Risk Adjustment Factor). The size of the group can affect this rate factor since the larger the group are more likely to get a lower RAF. The theory is that health issues are spread among a larger pool of people. It’s not atypical for carriers to offer RAF guarantees based on the size of the enrolling group.

Finally, the health carriers in California designate and file their Small Group plans with State agency responsible. Any eligible group can then apply for the same plan regardless of health. This is important to keep carriers from “cherry picking” healthy groups on to certain plan types and excluding less healthy groups.

How does Large Group health insurance differ?

Officially, large group health insurance is for groups with more than 50 employees/owners. Some carriers may allow groups that were originally designated as Small Group to remain on the Small Group suite of plans if they grow beyond 50 employees but they are not required to. There are some very big differences when comparing Large Group with Small Group described above.

Large group plans are not protected by AB 1672 and are not “guaranteed issue”. The carrier can decline coverage to groups based on claims experience and/or health history. Rates are built for that specific group’s claims experience and risk so total amounts can vary significantly from group to group. The plan options are different from those offered to Small Group and then to offer many more options. Some carriers even offer more of a cafeteria option where employer’s pick specific benefits to offer (i.e. choice of office copay, etc). Some Large group have tailor-made benefits to meet their needs and budget. Large group is quite different from Small Group and contacting an experienced agent is more important than ever when navigating this side of the business.

Dennis Jarvis is a licensed California group health insurance broker with extensive knowledge of the Small Group health market in California.

It seemed like everything was going so good too, now this happens. It stinks. I mean it really sucks!

You know all you see on the news negative reports about the economy and the housing gas prices going up and all these problems, right? But I wasn’t worried. I had a good job that paid me plenty of money. I could easily make my car payments on my new Lexus, my wife didn’t have to work, my two kids just started first grade (yes, they are twins), and things were just going well, and now this.

I won’t mention names but it won’t be too hard to figure out. There are several large corporations that are laying off people by the tens of thousands and shutting down production plants. I actually didn’t work for one of these companies but I did supply them with parts and now they don’t have any need for those parts.

To top it off, my boss got in a car accident and since things were looking bleak anyway they decided to offer us the option of leaving the company, or accepting a 33% pay cut! I opted for the latter and now I am hurting. I turned in my Lexus for a six-year-old used car with lesser payments but I still have to make some payments on the Lexus for a couple of months to cover the deficit.

I started one of these home-based business things to try to get things going but they are just not what they seem to be. They make all kinds of promises of instant cash but all I’ve seen is instantly going out of my wallet. I tried another one, and then another one and I’m actually making a couple of bucks, but it’s nothing like they promised.

But here’s the kicker-after all that, my car got towed because it was illegally parked. In order to save money I had canceled every possible aspect on my insurance, including towing. Because they ended up towing it over 25 miles, I needed to come up with 275 bucks to get my car back!

How am I going to get a loan for $275? It was a stupid thing to go to the bank and ask them, they just laughed at me. I didn’t want to call my father-in-law because it would look really stupid. My credit cards are already maxed out and I don’t get paid for two more weeks. Try living without a car for two weeks!

I did the only thing I could figure out to do-get a payday loan. I was nervous about doing this because I’ve heard all kinds of bad things about interest rates and everything. But my experience wasn’t that bad. I went to this company: www.QuickPaydayLending.com and they found someone in my area to loan me the money. They were very up front with the rules and regulations and wanted to make sure I was using this for emergency purposes only. There were no high-pressure tactics and it was all very professional.

I had the money I needed in my bank account in less than eight hours. Normally they go from as little as one hour to as much 24 hours but I was glad to get it in eight. I got my car back and got back to work. As soon as my paycheck came two weeks later my loan was paid off and only cost me about 35 bucks (your rate might be different). I did not have to tell my family and I did not have to put it on a credit card. Phooey on the banks anyway, I’ll never go there again as it was a waste of time.

My experience turned out to be quite good. In fact I think things are looking up because if I hadn’t done that, I would’ve probably lost my job altogether. Now I don’t recommend someone using a payday loan for anything other than emergencies, but in some cases they can be the best thing there is. In fact in some cases are the only thing you can do.

They don’t do credit checks on you, but they also don’t help you with your credit either so don’t be fooled. I didn’t have to fax in any documentation and did it all online, in total privacy. Best of all my confidence back.

Maybe I should approach the owners about becoming a manager of this branch. You know what? I’m going to do it!

If you are looking for a Payday Loan to meet short term financial needs, please visit the following website: Quick Payday Lending Jeremy Jones is an expert in the Payday Loan industry providing advice to consumers about getting payday loans, saving money and avoiding the usual problems associated with them.

In recent times, many people are trying to avail cash back credit cards from banks and financial institutions. The need for availing cash back rises especially, in days of heavy financial pinch. Do they really benefit you in financial difficulties? One needs to consider several things before applying for cash back credit cards.

Credit cards are most valuable assets that you can use as and when required, but there are certain limitations and you must know how to use them wisely. This means, you can gain maximum benefits from cash back credit cards simply by making your monthly due on time. Thus, by doing this, you can become eligible to gain highest benefits of cash back credit cards.

Using Cash Back Credit Cards Wisely:

Each person has definite kinds of cash back cards providing different benefits. For instance, a gas credit card profits those who drive for several miles every month and have to maintain their car or spend some time in an inn. This is because, you get some points on your credit card that you can use by staying at hotels or you may get the cash back for the gas purchase made.

Some gas credit cards also provide you with points for vehicle maintenance expenditure and you may even apply these points for purchasing a new car. Selecting a credit card for meeting the monthly expenses is best to derive greatest benefits out of it.

You also need to consider how much cash percentage your cash back card company gives you back on your ordinary purchases such as food, medications and gas. This may go anywhere around 1% to 6% for few products. Certainly, you need to have the highest percentage for maximum gains.

Balance transfer is one of the most important feature that your cash back credit cards need to have, if you have enough balances on any other credit card. You can easily transfer your balances to your cash back credit card through this facility and enjoy a zero percent APR (Annual percentage rate) balance for maximum 15 months. Thus, you can save largely in interest amount and reduce debts on other credit cards.

Overview:

Do remember to gain maximum benefits from your cash back credit cards. Although you get some checks of rebate, you still need to pay late fees and interests for every month to know whether this credit card is beneficial. However, avoid falling under such circumstances. Never delay on your payment, since it may cause you more than what you actually would have paid.

It is wise to avail of cash back cards that feature lower interest rate, zero annual fees, and other small fee amounts. In addition, remember that when you use your cash back credit cards prudently, you can strongly build up your credit standing. When you possess a good credit standing, obviously you can make big purchases, especially when you do not have all your other credit cards expired.

Find a cash back card and more of Tom’s work at FINDcashbackcards.com

Much has been written about the sub prime mortgage crisis in the US and even more has been said. Most analysts placed the blame for the implosion in the credit market on the adverse credit mortgage. This is a type of home loan that is issued to a borrower with a less than impressive credit history and financial resume. However there is another factor which may have been overlooked. This same factor may be about to spur a mortgage bonanza in the least likely of places – Africa.

In addition to issues billions of pounds of mortgages to people who had little chance of repaying them, the increased liquidity in the financial markets is mostly to blame for the current sub prime crisis. Banks and other financial institutions were simply too cashed up in the late 1990s and early 2000s and lowered their lending standards accordingly. Lenders had so much money they were almost forced to dream up new products to market to home owners and first time buyers in a marketplace that was already at full capacity.

This is why lenders eventually got to a stage in which they began to approve adverse credit mortgage products to just about anybody who applied. They weren’t the only product available at the time and although they may have been the trigger for the collapse in the financial markets they were not the only contributor.

This excessive liquidity is currently being experienced by several of the biggest banks in sub-Saharan Africa. While this market is tiny in comparison to Europe and the USA some of the factors which were prevalent in those markets ten years ago are emerging in several African nations today. This is opening up the prospect that Africa may be about to experience a small boom in their mortgage market.

Unlike the European and US markets, however, the African home loan market is far from overcrowded. A minority of the population have a bank account or use any type of banking facility at all let alone have a mortgage. The home loan market is exclusive and usually only available to the elite but there is a growing middle class demographic with an appetite for home ownership.

It is also unlikely that African banks will be developing adverse credit mortgage products similar to their Western counterparts. This is largely because many Africans simply do not have a credit history and therefore do not have impairments to their credit files. Instead, home loans are issued only to workers who are paid a salary and who have stable jobs. It is common in Africa for lenders to be paid their monthly mortgage repayments directly from the borrower’s employers instead of from the borrower’s bank accounts. This helps reduce risks to the lenders and as a reward the borrowers are often granted lower interest rates.

In the wake of the adverse credit mortgage crisis an unlikely beneficiary may therefore be Africa as lenders are increasingly looking for new markets to conquer for profit. It will be many years before the Western home loan market are fully repaired so it could be Africa’s time to shine.

Submit your details to get expert Adverse Credit Mortgage advice from an independent mortgage advisor through www.adversecreditmortgagesource.co.uk today

If you hold credit debts and are concerned about how you will meet future debt payments, it is time to take stock of your situation and the reality of the fall-out from the global credit crunch.

Many people experiencing credit debt problems, might imagine their first port of call being debt consolidation via non-profit debt counseling agencies. And rightly so, these credit debt management services have provided ‘life-lines’ to many distressed debtors, enabling them to consolidate their debts with affordable monthly payments at reduced rates of interest. In some instances, debt solution services have even been able to negotiate as little as 0% with credit card companies.

But at a time when the prevailing credit crunch is seeing a knee-jerk reaction from some credit card companies, credit card credit debts seem poised to worsen. It would seem that some lenders’ fears over further credit debt losses in the current climate, has led to previous concessions being stripped away and there appears to be a general clamping down on credit card credit borrowing. These include:

- Drastically slashed credit limits

- Increased rate of rejection for new credit card applications

- Increased interest rate charges

- Refusal by some credit card companies to lower rates for those needing to consolidate credit debts

What The Experts Are Saying About Credit Card Debts

The picture for credit card debt - UK or elsewhere, couldn’t look any more bleak, especially in light of the findings that nearly one in eight Britons have at least four credit cards, with 28% of people applying for a new card over the past 12 months (http://guardian.co.uk).

MoneyExpert.com report that ‘around 13% of people have four or more credit cards, with 3% having five cards and 4% having more than five’. This suggests that credit card consumers are juggling with credit debts by transferring balances from card to card. While this strategy is perfectly fine if people are making full use of 0% transfer deals for credit debts reduction, it is most certainly not a good position to be in if they are struggling to make ends meet.

Yet, at a time when a number of research and surveys shows the true picture of the spiraling credit debt problem from credit cards and mortgage equity release, it becomes all the more worrying where over-reliance on credit for every-day essentials such as food, bills etc., has become the reality for some people.

Those who have addressed the issue of credit debt by releasing equity from their homes to pay off debts, might well have earned much needed credit debt relief. However, for those individuals who have not only released equity to reduce credit card debt, only to find they are still holding substantial credit debts, there may be very little options open to them.

At a time when nearly every expert seem to be predicting the credit crunch and ensuing credit debt crisis is going to escalate, what possible salvation can there be for people who need serious debt advice as well as more practical debt help? Given the clampdown by some credit card companies, what other workable credit debt solutions are there to effectively reduce credit debts?

There is hope! This hope comes by way of….

Read The Remainder Of This Article By Visiting The Link Below

Olga Graham Try is a qualified Social Care Practitioner and Life Coach: Read The Full Article Here:

Everyone knows that the younger you are when you start paying into a pension, the more you’ll receive when it’s time to pay out on your retirement. Nevertheless, there are still many who delay making that start and a frightening number of people who believe that their entitlement to a basic State pension will be enough to see them comfortably through old age. While they might be right about the entitlement to a State pension, they are most unlikely to find that the State pension alone will ensure anything like a comfortable retirement. But if taking care of your own pension arrangements is to be an option, where do you go for the best pension advice?

Even a cursory look at the subject of pensions will tell you that it can become a pretty complicated topic, with a bewildering range of different products, to suit different ends and purposes. For example, you might be aware that your employer runs a pension scheme and, indeed, you believe that the employer contributes to your pension on your behalf. But is this an occupational pension scheme. If it is, do you know whether it is salary-related or whether it is a defined contribution or money purchase scheme?

Alternatively, is your employer offering a stakeholder pension scheme or running a group personal pension scheme? You have heard that it is possible to set up your own stakeholder pension. How would this differ from your having your own personal pension arrangement? Is one or the other – a stakeholder or a personal pension scheme – something you should be setting up for yourself?

These are all perfectly reasonable questions, but how on earth do you go about answering them? It’s very much a specialist subject and the ground rules seem to be changing all the time. You have might also have heard, for example, that the government is introducing changes requiring all employers to offer a pension in the future and to make contributions to the schemes set up. This can be the employer’s own scheme or the government’s new central scheme that is being established.

Yet further changes will affect the minimum age at which you can start drawing your pension benefits. Subject to the rules of your particular scheme, the minimum age is currently 50, but this will go up to age 55 by the year 2010 (though you will no longer need to stop working altogether to be able to draw the pension, provided continued employment is allowed by the rules of your particular scheme). To phase in the higher age level, pension fund managers have been given the period from April 2006 until April 2010 to raise the age limit. Clearly, you will need to know when it applies to you.

All in all, therefore, it is clear that questions about pensions can become quite complicated. They are further complicated by your need to know exactly how your own individual circumstances should affect your pension options and decisions. A pension is a long-term investment, which accumulates many thousands of pounds of your hard-earned cash – it’s important, therefore, that you are guided towards the right decisions.

Given the importance of getting it right, the sensible course of action is to consult an independent financial adviser about your existing and future pension options. This will ensure that your decisions are based on the best, professional and expert, independent pension advice.

Steve Wright is Managing Director of Wrightway Financial Consultants, Independent Financial Advisers specialising in Pensions, Investments, Mortgages and Insurance. One of their major areas is pension advice.