Thanks to the introduction of automatic registration in 2012, more people in the UK save in the pension scheme than when it was before. But did you know that up to 35% of adults in the UK still there is no pension? Pensions may seem difficult, but there are several simple things that you can do to plan a retirement.
Although many of us can have the right to state pension, this will cover only the main needs. To get the standard of living you wish to retire, this is a good idea to start saving in a pension scheme. In addition, pension schemes will also be delivered with some tax benefits, so you will open more on a rainy day than if you depended only on savings.
For more information please visit: Recovering employee benefits
Start saving early
Even if you have 50, you can still develop a good pension pot, but it will be more if you start with 30 or 40 (or earlier!).
If you have a pension income of 25-30 thousand pounds, you will probably live 1.5 years longer than someone from 10 to 15 thousand pounds.
Make your mathematics
Think about how much money you will need when you retire. What expenses do you need every week? Are there any hobbies with which you would like to continue or continue?
Also a good idea is to try to pay off your debts before retirement.
Then find out how many of these costs will be covered with your state pension. But be careful that this has changed in recent years.
See how much you pay for your pension every month, as well as any accounts that you can have in the previous job. Similarly, include any savings accounts, ISAS or investments that will contribute to your income. You can develop your potential income from a pension on a pension calculator of consultations on monetary consultations and see if you are on the way to achieving your goal.
If you are in the pension scheme of automatic production, this is a great start. Current contributions of employees are set at 3%, which will grow up to 5% next year and should give a good basic level of income. Depending on your age and how much you earn, you can contribute more than to increase retirement. If you get a salary or bonus increase, consider the ability to bring some of them to your pension pot. You will receive tax benefits in your contribution and – in some schemes at the workplace – your employer can also increase his contribution.
Combine your latest salaries of pensions
If you are lucky enough to have the final retirement or a scheme of certain advantages – the one that pays a fixed amount every month, depending on how long you worked in the organization – then this is usually a good idea to save them. They will provide you with guaranteed income and are not supplied with the financial risk of other schemes.
Avoid the temptation to immerse yourself in an early stage
Your pension can be a salvation in a later life, so try not to identify it early, even if you are still young. The fact that you are leaving may take years again.
If you do not work for hiring
Although the number of people employed in the UK is growing, less and less savings in pension. Some plan to sell their business to finance retirement, but if it does not work as planned, they can be left without financial security in a later life. Others can postpone this from the cost. Nevertheless, there are schemes to help self -leaded people to save:
If you are a self -governing person or director for one person, you can use the National Savings Fund for Employment (NEST). This is an inexpensive state pension plan created to help employers who do not have a scheme at the workplace
If you retain a pension, you can restore some tax benefits through your tax return on self -esteem. If you forgot to do this, you can still demand tax benefits over the past three years
Talk to your pension consultant to get additional information.