A Buy Out Bond is a pension structure which is suited to the individual who has left employment and hence can no longer contribute from salary to that respective employments company pension plan. The Buy Out Bond allows the individual to transfer his/her full pension benefits from under the control of the pension scheme into their own personal control.
When you receive “Leaving Service Options” from a previous employer in relation to pension benefits, this is usually one of the available options.
Benefits of Buy Out Bond:
- You exercise control over your pension fund
- You decide which where your pension fund is invested at any given time.
- You can access your fund from age 50.
- You maintain all the same retirement options as per the options available within the company pension you left.
- You can access this fund at a different time to accessing funds related to different employments.