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Many people set up a pension but then don't look at their long-term and medium-term goals. Ask yourself if your pension is on track to meet your goals. You might be considering retiring earlier or simply retiring comfortably at your normal retirement age.

Whatever your plans, it doesn't matter what you do; your pension must be reviewed. Here are the top three reasons for pension reviews on an ongoing basis.

1. Cost

Are you paying too much to retire? An annual management fee is charged, also known as the AMC (annual management charge). This will be approximately 1% for most stakeholder-based vehicles. You could pay a lot more if you are paying into a personal or self-invested pension (SIPP), but you may not be getting any real benefits.

2. Pension Type

What pension type are you using? Stakeholders are the cheapest investment option for retirement. Unless you want to invest in a broad range of funds, you shouldn't be investing in a PP/SIPP vehicle.

3. Cash Flow

When do you need to access your retirement pension? To protect your pension fund, you should consider investing around 20% per year in cash if you are near retirement (five years or less). Around 80% of your pension fund should be invested in deposit-based investments if you are within one year of retiring.

Review your pension situation at least once per year. Blindly contributing to your pension each month without having access to it will not help you reach your long-term goals. Your financial advisor should be capable of providing a forecast and comparing your pension benefits to determine if you are on the right track.