Your pension savings could be almost worthless by the time you are halfway into retirement if you’re not taking necessary measures not only to protect but also to boost your pension savings.
We have all heard or read those scary pension headlines, but what do they actually mean for your retirement plan?
Considering the fact that the official age of retirement (the earliest at which you can draw your state pension) is fast going up, there is the need to plan for your retirement well before you stop work.
Below are 5 smart moves you can make to boost your pension savings:
1.) Save as much as you can towards your pension savings
This doesn’t mean going short but dividing up your spare cash so that you will have some for long-term pension investment as well as some for short-term savings such as your holiday.
2.) Start your pension savings early, don’t procrastinate
For instance, if someone is saving £100 a month into a pension fund until the age of 65, such a person may be able to 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 towards pension fund.
3). Invest your money in profitable investments
4). Review your pension savings every time
This is particularly important if you have recently undergone any lifestyle changes such as being divorced, a new job or being made redundant.
5). Always keep records of your contributions
This will enable you to see how well you are performing and whether you should try and improve. You can use government’s Pension Tracing service to do the job for you.
