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Malcolm McLean, chief executive of the Pensions Advisory Service, answers your pension concerns.

Ruth Harrison: "I will be 60 in December and am due to receive £54.36 in state pension, based on my NI contributions.

"I can pay a lump sum to make up four years missing contributions, giving me an extra £8.31 per week. This seems good value but are there any unforeseen pitfalls?"

Effectively, by paying a one-off lump sum of £1,356 to make good her missing National Insurance contributions Mrs Harrison will secure for herself an extra £8.31 per week on her state pension for the rest of her life.

This sounds a good deal but depends of course in the final analysis on how long she (and her husband) live to reap the benefits of this extra investment.

What might be helpful for her to do before proceeding, however, is to compare the cost of this option with that of using the money to make a contribution(s) to a private pension plan, e.g. a stakeholder pension.

Contributions to a stakeholder would automatically attract tax credits thereby boosting her investment, whereas contributions to the state scheme would not.

On the other hand, Mrs Harrison should bear in mind that there is no guarantee as to the level of benefit she would obtain from a private plan. This will be dependent upon investment returns and, at the point where she would be looking to draw the pension, the prevailing annuity rates.

At least the level of benefits obtained by making an additional contribution to the state scheme is known and guaranteed.

For general information on stakeholder pensions go to www.stakeholderhelpline.org.uk or ring the Opas helpline on 0845 6012923.

Peter Brunton, Birmingham: "My company offers a money purchase pension scheme after completion of one year of employment with them. I've just completed this but am not allowed to back-pay for that year now. I'm in my late 40s, so this is very important.

"Should my company have offered me a stakeholder pension as an alternative during my first year of employment?"

No. The company would appear to be acting entirely in line with the regulations. Provided that the company offers membership of a pension scheme that all staff can join within a year of starting work, then it is exempt from having to offer a stakeholder option.

Even if a stakeholder pension had been on offer there would of course have been no obligation on the employer to contribute to it.

On a point of information, there was nothing stopping Mr Brunton from starting his own stakeholder pension plan for this 12 month period.

On joining his employer's scheme, he might then have been able to have carried on contributing to the stakeholder plan in addition (subject to the rules on maximum contributions allowable) or alternatively transferred his stakeholder funds to his employer's scheme (taking advantage of there being no penalties for transfer on a stakeholder plan).

David Reeve: "Many companies are not offering final salary scheme pensions to new workers but I'm worried mine may also close the scheme to existing employees.

"If so, do they have to offer an alternative scheme of equivalent benefit? I'm due to retire in 18 months but should I go early to ensure I stay in the scheme?"

Although there is much talk at the present time about compulsion, the present situation is that it is entirely voluntary on an employer to decide whether or not he wishes to provide a pension scheme for his employees.

The only obligation on an employer with five or more employees who is not covered by an occupational arrangement is to provide them with access arrangements (payroll deductions etc) to a stakeholder pension provider.

He does not have to contribute and they do not have to join.

Conventional wisdom has been that if it is up to an employer to decide whether to set up a scheme then by the same token it is up to him to decide whether he wants to continue with it or close it down.

Challenges have been made to this but as yet there has been no legal test case brought to support them.

When a company goes into liquidation there is usually no option but to wind up the pension scheme.

This can create problems for members of final salary schemes particularly where the funding levels have not been maintained above the government's prescribed Minimum Funding Level.

The decision whether to take early retirement is really a personal one and one which Mr Reeve will need to think carefully about before proceeding.

Malcolm Baron: "My pension company said that I could take my pension early without penalties but now I've been told that I can't get my pension and then work part-time for the same employer, due to Inland Revenue rules.

"Is this true? Do I really have to change jobs or wait until my full retirement age?"

Sadly, it is a fact that the Inland Revenue will not allow someone of Mr Baron's age to start drawing their company pension while still working for the company.

If he were to leave the company and take up another job - albeit one of an identical nature - he would be allowed to draw his pension.

This is a complete nonsense and we must hope that the government's forthcoming Green Paper recognises this and the rules are changed.

Judy Thomas: "My husband and I both have pensions from insurance companies (purchased as annuities). If one of these collapses, what happens to our pensions? Are they ring-fenced or does our income go belly-up too?"

If the insurance company, with which your pensions are held, goes into liquidation, you will receive protection under the government backed Financial Services Compensation Scheme.

Under the scheme, the value of each pension policy held within the insurer is valued as at the date of the company's liquidation.

Pension policyholders would normally receive 100% of the first £2,000 of their assets and 90% of the remainder.

You can obtain further information about this yourself by visiting the website of the Financial Services Compensation Scheme.

Stephanie Wilkes: "Are there any 10 year schemes for people in their mid-50s who are still working but don't have any private pension schemes. I'm 54 with my mortgage almost paid off and am putting a small amount into an Isa."

Ms Wilkes would probably be best advised to see an independent financial adviser to discuss her circumstances in full and consider what financial options are open to her.

It may or may not be in her best interests to start a pension plan at her time of life, although if she is working and has access to a company scheme she should give serious consideration to joining it given that her employer as well as herself will be contributing.

In other circumstances her situation is complicated by the existence of the Minimum Income Guarantee (currently £92.15 a week) which will be further enhanced by the introduction of the new Pensions Credit from October next year.

A leaflet which Ms Wilkes might find useful to read is "The FSA Guide to saving for retirement - starting to save" available at www.fsa.gov.uk.

Mr Saranillo: "I currently contribute to a company pension but also have four 'frozen' pensions. I am 40 years old and would like advice on what to do with all five pensions.

"Also, how do I find out how much state pension I am likely to receive when I retire?"

D Connell asks a similar question.

Basically, Mr Saranillo has two options - leave the "frozen" pensions where they are or transfer all or some of them into his company scheme.

It is not always a good idea to transfer benefits from one scheme to another. It is important that the pros and cons are carefully considered.

The starting point is to obtain a benefit statement and a transfer value quotation from the scheme you are considering transferring out of. Then give these to your current scheme and ask them to give you a "transfer-in" quotation.

It should then be possible to compare the benefits that would be payable and decide which option will give the best value for money.

Generally speaking it is wise to speak to an independent financial adviser before agreeing to any transfer.

With regards to the state pension, a forecast of the pension payable from pension age will be provided on request.

To obtain a forecast get Form BR19 from your local Social Security Office or ring the Forecasting Unit direct on 0191 218 7585.

Mark Alexander: "I'm 24 years old and employed but I plan to emigrate to the US or Canada in about five years.

"Should I start a pension now or a cash Isa and if I do start a pension, can I transfer it abroad later?"

Although at the different end of the age spectrum, the answer to this question is not dissimilar to that given to Stephanie Wilkes above.

For definitive advice on his own situation, Mark should see a financial adviser. A read of the Financial Services Authority's explanatory leaflet would also be a useful first step.

Much will depend on how firm his plans are for emigrating to the US or Canada.

One of the attractions of cash Isas is that they are very portable and unlike a pension can be cashed in at any time. This might give him more of the flexibility he needs.

He could therefore consider contributing to an Isa for a few years and then (depending on circumstances) transferring some of its value into a pension later on.

An alternative is to join or set up a pension plan now and look to transfer it later on. Transfers of pension benefits (from company pension schemes and individual pension arrangements like stakeholder pension schemes) are normally possible, subject to the approval of the Savings, Pensions and Share Schemes Office of the Inland Revenue.

I understand, however, that there are currently some difficulties with transfers to US Pension Schemes. They can be telephoned on 0115 974 1600 for clarification (though it is unlikely that they will be able to say what the position is likely to be in a few years time).

David Riley: "I've been trying to trace possible pensions that may be due to me from the 1960s. I've gone through the Pensions Registry Scheme and written to the companies concerned but after three letters, have received no reply. Where do I go from here?"

It is not certain that Mr Riley has any entitlement to benefits from pension arrangements that relate to the 1960s.

It first became a legal requirement to provide a preserved pension, subject to certain conditions, from 6 April 1975. Many pension schemes did not provide any pension benefits for members who left before this date.

Under contributory schemes members were given a refund of their own contributions when they left employment. Where schemes did not require member contributions, there was usually no benefit at all on leaving service.

Between 6 April 1961 and 5 April 1975 schemes were able to contract out of the State Graduated Pension Scheme. Where schemes were contracted out, members leaving employment received a refund of contributions.

However, to replace the graduated pension a small pension known as an Equivalent Pension Benefit (EPB) was awarded, payable from age 65 (men) or 60 (women).

There is no requirement that schemes must increase this benefit and when it becomes payable the member is usually given the opportunity to exchange the pension for a cash sum.

Unless Mr Riley has some evidence of an entitlement to a preserved pension, perhaps in the form of a certificate given to him on leaving service or a booklet which states that a preserved benefit would be provided, it is unlikely that Opas can help him to obtain a benefit.

Opas can, however, assist him in ensuring that he at least receives a response from Black & Decker Pension Scheme. I therefore suggest that he writes to us with copies of any correspondence.

The Opas address is 11 Belgrave Road, London SW1V 1RB.

For further information on this issue, a copy of our leaflet "Where is my Pension?" is available at the Opas website.

Mrs. White, Bishop's Stortford: "After a takeover, my company's final salary pension scheme is being wound up. Does this mean I won't have what I was originally contracted for and would I be better off seeking a transfer value?"

As far as the possibility of a transfer request is concerned, Mrs White will always have that as an option whatever circumstances apply.

The real issue for her to consider here, however, depends on the exact circumstances under which the scheme is being wound up.

If the new owner is simply absorbing Mrs White's former pension scheme into his own final salary scheme then her guaranteed pension is simply being moved from one scheme to another and there is really no change. If she was content to leave her pension in the old scheme then she will presumably be content to leave it within the new one.

If, however, that is not the case and the new owner is winding up the scheme and not replacing it (or is replacing it with a money purchase arrangement) then the situation is very different.

In this latter situation Mrs White will only have two options - either to take a transfer value (i.e. the cash equivalent value the scheme actuary has put on her pension entitlement) to another pension arrangement or having her benefits bought out with an insurance company in the form of a deferred annuity.

This is all very complicated and at the present time most unsatisfactory. The law requires a company on winding up a final salary pension scheme to bring the funding if necessary up to the level of a minimum funding requirement.

But while the way the system works should ensure that all pensions in payment continue to be met in full, it does not guarantee the full pension entitlements of those who have not yet retired embracing both current and previous members of the scheme.

There are a number of very high profile cases receiving media attention at the moment and we expect the government to address the whole issue of the funding and winding up rules in its forthcoming Green Paper on pensions promised by the end of the year.

In the meantime if people want general information there is a leaflet "Winding up a pension scheme" which can be viewed on the Opas website or can be obtained on request by ringing the Opas Helpline on 0845 601 2923

Mr Westlake: "My wife has a small state pension qualifying through my National Insurance contributions. What will she be entitled to if she outlives me?"

Mr Westlake's wife's basic state pension will be increased automatically to the rate he was receiving at the time of death.

As both she and her husband appear to be existing pensioners, she should also inherit all of any State Earnings Related Pension (Serps) he was entitled to.

This will not apply to everyone. The government has recently changed the qualifying conditions for receiving inherited Serps and some people who had not reached State Pension age on the 5 October 2002 (the effective date of the change) will receive less than 100% of the full amount.

Details of the Serps changes are contained in a newly produced leaflet "Inheritance of Serps" which can be obtained from the government's Pension Service leaflet order line on 0845 606 5065.

Information is also included on the Opas website.

The opinions expressed are Malcolm's, not the programme's. The answers are not intended to be definitive and should be used for guidance only. Always seek professional advice for your own particular situation.