Raising retirement

The value of pensions and the income they produce can fall as well as rise. You may get back less than you invested.

The State Pension ages have been undergoing radical changes since April 2010. In Nov last year this saw it being set at 65 for both men and women. Further changes planned will see the Stae Pension age rise again in the future to 66, 67 and 68 for both men and women.

Although women now retiring later gives several extra years of paying into a pension pot there still could be big gaps in savings and retirement income. The main reasons for this are due to lots of women having a fragmented career compared to most men. Things such as taking time off to have children and then returning to work part-time to facilitate childcare, or perhaps going self employed. There are also lots who take a career break in order to look after a sick parent or relative.

According to this report by Which, who analysed the latest Department for Work & Pensions (DWP) data, they found significant disparities persist, with the average man receiving £153.86 a week and the average woman receiving £125.98 a week.


The State Pension age is set to continue to rise for men and women, but the reality is that its unlikelt to provide enough money to live comfortably in retirement. This is why it’s so important to start thinking about and preparing for retirement as soon as possible.

If you are aged between 22 and retirement age and earning over £10,000 a year you need to make sure your employer has enrolled you in the company pension scheme. In April this year you will have to put a minimum of 5% of your salary into your pension. Your employer will also have to contribute a minimum of 3%. The money will be taken from your salary and automatically paid into your pension. It’s worth considering if you can afford to pay a higher contribution. Even a few extra pounds each month can make a big difference when it comes to retirement.

Those who are self employed should consider a personal pension as you can choose where you want your funds to be invested, The pension provider will give you a list of options and will also claim tax relief on your behalf which will be added to your pension pot.

For help and advice on pensions please call us on 01928 735510 or send us a message and we will call you back.