How do you boost your pension? How do you plan your retirement?
If you have already set up your pension fund and you are paying regularly into it, here is how to make it work harder for you and increase your retirement income.
Boosting your pension is not just about increasing your regular monthly payments or paying in a lump sum when you can.
You can also change your investments, consolidate all your pensions in one place or even change your retirement date to give your fund more time to grow.
Bear in mind, though, that investments can fall as well as rise, and you might get back less than you invest. A few smart choices now could see your pension buy you a much higher level of income when you retire.
Saving your money
This does not mean going short but dividing up your spare cash so yo have got some for long-term pension investment as well as some for short-term savings such as this year’s holidays. Saving for your retirement does not mean just traditional company or personal pension funds.
There are lots of other financial products available that allow you to invest in stock market funds or make the most of tax-efficient saving. For a better understanding, please speak to a Financial Planning Manager.
How much to save
But experts suggest the cost of delay is one of the main factors in how much you can expect at retirement and as a rough guide, someone saving £100 as month into a pension until age 65 may achieve a fund of over £150,000, whereas that same fund may be less than £70,000 if they left it until 40 before starting to save.
Regular review
By doing this, you will be able to see how your pension is performing. It’s easy to do and will give you much more control over your pension planning.
Use the planning tools to be able to determine how much your pension could be worth when you retire and the impact of paying in more.
