How can I boost my retirement savings?

 

Increase regular savings

Adding to your regular pension savings by even a small amount can add up over the years until your retirement. Next time you get a wage rise it could pay to put some aside for your retirement.

If you increase your pension contributions, you’ll also receive more tax back from the government, which will be added to your pension pot. And if you pay in to your employer’s scheme, your employer may contribute more as well.

Estimate your pension pot by clicking on www.moneyadviceservice.org.uk/en/tools/pension-calculator.

Add lump sums

You can add lump sums to your pension pot to boost your retirement income.

Delay taking your pension savings

You can choose when you’d like to retire. So, if you think you can’t afford to retire, you don’t have to. You can continue working and carry on contributing to your pension pot. This may create more income for when you to retire. The longer you delay taking your pension savings, the more time it has to potentially grow.

You can also delay taking your State Pension.

If you decide to retire later, please let us know by changing your retirement date in your Online Account.

Use other savings

Income for your retirement doesn’t have to just come from your pensions.

If you have bank or building society savings, ISAs, premium bonds, investments or an inheritance, you can use them to top up your retirement income.

Combine your pension pots

If you’ve several pension pots with different providers, it may be a good idea to combine them. This will make it easier to keep track of your overall pension savings and estimated income at retirement. You could also save money if you’re paying higher fund charges with one provider when you could get the same choice and service from another provider for lower charges.

Before you transfer though, check what type of pension you have. Final salary schemes, or defined benefit schemes are usually best left where they are as your retirement income is guaranteed. Transferring these types of schemes will mean you lose this certainty.

B&CE is not authorised to give financial advice. If you’re in any doubt about whether transferring your pension is the right decision for you, please contact an Independent Financial Adviser (IFA). You can try www.unbiased.co.uk if you’d like to locate an IFA in your area. An IFA may charge you a fee for their advice.

 

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