Is a Workplace Pension Worth It? Pros, Cons, and Benefits Explained

Please be aware that you have to pay Ni for about 40 years to get a full state pension. Otherwise it will be very reduced. Check the hmrc website for further information on this. However paying into a employer scheme guarantees you a pension and your employer must contribute to your pension
 
Worth taking note that the age to be able to qualify for state pension keeps going up. So depending on how old you are now it’s worth thinking about what age it might have gone up to by the time you want to retire. I only started paying into a private pension when the law changed and employers had to ensure staff had the option for a private pension but now pay the maximum that my employer will match as I think the retirement age is going to be much older than it is now by the time I come to retire. I’m in my 30’s now for reference.
 
State pension is a relatively small amount. If you want any degree of comfort in your retirement, invest in a personal or workplace pension.
 
Be silly not to.
Get far better return than any private one you can take out, esp as employer chips in too.
Chances are retirement age will be 80 by the time you want to retire so you'll starve before state pension kicks In
 
Trouble is if you have a large amount of work pension when you retire plus state pension you may have to pay tax on it the way the government are going not putting your personal tax allowance up as it has stayed at £12,570 and for how long is that going to be as the state pension will go up and before long we might be paying tax on that 😉
 
Depends on what you want.. the state pension age is creeping up all the time, and the amount of people claiming it for longer means there is further pressures on it.. I personally would prefer to set myself up with a reasonable workplace or private pension that would allow me to retire at 60 or 65 comfortably.. x
 
Can I hop on this post. I'm 43. What is a good amount to have in a work pension pot? The amount it projects at retirement is rubbish I my eyes lol x
 
@mlshelton1975 default pension settings is usually least efficient one. Not sure who you are with but nest for example allows you to invest in global index fund(100% stock) and annual return at a minute is between 10-12%. Obviously stock market fluctuates but nevertheless average annual return over 10 years period should be no less than 8%. Just have to make sure index fund u r investing in is diversified as much as it can be.
 
* 1 check your policy re dependant pensions, they vary, some will
Provide dependant pensions others pay out the value of the pot but you won’t lose it
* 2 yes you can retire/draw the wpp from age ( 57 from 2028)and get the state pension from your spa
* 3 state pension is not means tested but you will just need to check you don’t have any missing NI years to ensure you have a full state pension but if you’ve paid since leaving school it’s sounding like you’ll be ok xx
 
Worth checking your current pension "setting" as default one is not the most efficient. Study this as its worth to maximise potential return rather than just settle on default. Most offer global index fund(stock and shares) investing and that can be more often than not be worth the risk.
 
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