What are the charges?

What does it cost?

The amount you will be charged depends on the investments you choose. The charges and any rebates which apply to the investment options available to you are explained in:

How to choose the right investment options for your pension guide (PDF, 1.17MB)

Types of charges and rebates

When you have a pension there are charges for investing in funds. These charges cover the cost of managing your investments. Charges and rebates are not guaranteed. They are regularly reviewed and may be changed in the future.

Effective total annual fund charge

This is the fund management charge (FMC), plus any additional expenses which apply, minus any scheme rebate which applies.

For example, if you invest in a fund with an FMC of 1.00%, additional expenses of 0.01% and a rebate of 0.30%, this will give an effective total annual fund charge of 0.71%.

Total annual fund charge

This is the fund management charge plus additional expenses. We only show this charge where no scheme rebate applies.

Fund management charge

Payments made to your plan are invested in funds. We apply a charge to money invested in our funds. This is known as the fund management charge (FMC) and is shown as an annual rate. However, we deduct the charge from each fund on a daily basis, which has the effect of reducing its unit price.

Even if you stop making payments into a fund, you’ll still be charged the FMC because the money you’ve invested will still be under management. For Stakeholder Pension Plans, the Government sets a maximum charge that can apply. If appropriate, see the How to choose the right investment options for your pension guide (PDF, 1.17MB) for more information.

Additional expenses

Additional expenses don’t apply to funds available through Stakeholder Pension Plans.

Additional expenses may be deducted from some funds. These include items such as custodian, third party administration, trustee, registrar, auditor and regulator fees. Where a fund invests in other underlying funds, they may also include the underlying management charges.

As the additional expenses relate to expenses incurred during the fund management process, they will regularly increase and decrease as a percentage of the fund, sometimes significantly. The additional expenses figure shown is the annual rate of the charge. But where additional expenses apply, they are taken into account when the fund’s unit price is calculated each day.

All additional expenses figures are rounded to two decimal places. This means that although additional expenses may apply to some funds, they may show as 0.00%.

Scheme rebates

We have agreed to provide enhanced terms to give you, as a member of the Howdens Retirement Savings Plan, a rebate of 0.60% of the amount you have invested in each fund. This is given to you as additional units in your fund each month.

If you leave Howdens, this discount will remain in place.

Fund switching

We won't normally make a charge for switching funds. In some limited circumstances we may charge, for example if a switch involves a fund managed by an external fund manager, and that fund manager charges us for the switch.

For more information about fund switching, contact us on 0345 271 9501.

You'll find more information about the different types of charges that may apply to the Howdens Retirement Savings Plan in the Key features document (PDF, 191KB) and How to choose the right investment options for your pension guide (PDF, 1.17MB).

Cost of advice

If you decide to get advice from a financial adviser, they may charge for this. You’ll be able to find out more about this from them.

More about getting financial advice

Important documents

To help you make an informed decision we've provided you with important information that you should read. You should print or save copies of these documents for future reference.

This is where you will find specific details about your employer’s company pension.

Plan summary document (PDF, 73kb)

This document explains the features of the pension product your employer has chosen.

Key features document (PDF, 288kb)

This document gives you an illustration of what your pension could be worth.

Key features illustration (PDF, 164kb)

Read this guide for more information about how pensions work if you make payments through salary exchange.

Planning for more in retirement  (PDF, 2.31Mb)

Read this guide for more information on your investment options, including details about charges and fund codes.

How to choose the right investment options for your pension (PDF, 1.17Mb)

Use this form if you would like to join the plan and you aren't being automatically enrolled.

Authorisation form (PDF, 258kb)

Read this form for more information on Salary Exchange. This form has been provided by Howdens. Standard Life aren't responsible for the content of this guide.

Salary exchange factsheet (PDF, 203kb)

Presentation for members of the Howden Joinery Auto Enrolment Pension Scheme.

The Howden Joinery pension presentation (Recording)