Of course they will change! And when they do, your financial planning may need to change with them. In an absolute worst-case scenario, you can stop paying in each month without losing the money you’ve invested (as long as you have completed the minimum “initial period”), and you can also withdraw from your pension if absolutely necessary. It’s not recommended though – please remember that by stopping, or making a withdrawal, you negate (lose) the guaranteed minimum return, so the amount you receive will be 100% dependent on the return of the S&P500 Index without the safety net of the guaranteed minimum return.
It’s far better to make sure at the start that you’re not over-committing yourself – pick a monthly amount that you can definitely afford, and integrate your retirement planning with your overall financial planning – have an emergency fund to dip into for emergencies or unexpected expenses, and have some general savings and investments which you could withdraw from if needed, so you don’t need to compromise your retirement planning and lose that all-important capital guarantee if you’re having some short-term financial difficulties.
The best place for an emergency fund is a bank account – a separate one from the one you use for your day-to-day expenses – which you have a debit card for and can access easily and instantly if you need it.
If you’re looking for a great general savings and investment product for your flexible savings requirements, which is a far better investment than a bank account and a lot more flexible than a pension plan – which is ideal for the times when your circumstances change and you need to pause your savings habits or make a withdrawal – check out www.SavingsForNomads.com. Just don’t forget your pension plan – keep it separate from your general savings and your circumstantial money management – the financial situation of Future You is entirely dependent on the financial decisions made by Current You!