The focus on pensions has ramped up over recent weeks following reports that the State Pension age could be rising to 68 earlier than planned, effectively meaning that everyone currently aged 54 and under will need to work longer. People with private or workplace pensions will also have to wait until they are 57 to access retirement savings due to changes coming into effect in 2028.
Pensions, savings and retirement are frequent topics on The Martin Lewis Money Show Live and this week the consumer champion shared a very quick way to work out how much you should be saving each year to make sure your pension pot is brimming over in later life. While his method is just a ‘rule of thumb’ it’s a good benchmark for those who haven’t started saving yet, or are swithering about opting out of auto-enrolment.
Martin explained that all you have to do is take your age, halve it and that is the percentage of your annual income you should be putting into your pension every year until you retire.
