Pension Savings and Retirement Income

Saving for your retirement

By putting money into your pension plan, you are contributing towards an income for later life when you are not earning or not able to earn.  The Government encourages you to make pension provision by giving you tax-relief on your pension.  You’re never too young to start a pension (a pension can even be set up for a baby) and the earlier you start, the better your retirement income will be. 

If you want a comfortable retirement, you will need to plan for how you will provide an income that will achieve this.  It is worth remembering that even the full basic State Pension is only £95.25 a week, and the age at which you are able to take this is increasing (a woman born in 1970 for example, will be entitled to draw a state pension only when they reach 68 – women retiring today can draw a state pension at age 60).

So, what can you do to achieve an income that will support a comfortable retirement?

Jargon Buster:  Pensions & Retirement

ABI has produced a Jargon Buster which defines the key terms you are most likely to encounter if you are thinking of starting a pension, already have a pension, or are thinking about retiring and how to turn your pension into a retirement income. This can be viewed on the right of this page.