Figures published within a report which was published recently, has revealed that those planning for retirement should look to plan for a retirement income of £15,000 per year.
According to the report, once people reach the £15,000 limit within their yearly pension income they begin to feel more comfortable and financially secure; and the latest figures follow news that when it is introduced in April 2016, the state pension age is likely to be worth at least £7,500 a year.
Due to the state-pension set to be worth at least £7,500 a 22 year old who earns £20,600 per year at present, and begins saving today towards their retirement, would only need to make the minimum pension contribution to reach the £15,000 threshold by the time they reach the state pension age.
The report suggests that this could be easily achieved by making small changes to their spending habits, such as reduce the number of times they eat out, or by reducing the amount they spend on activities such as drinking and / or smoking.
Whilst the latest report has revealed that making small changes to their spending habits now, could help the younger generations achieve a comfortable retirement income; for those who wish to discuss their retirement planning, our experienced financial advisers can assist.
Our advisers offer a comprehensive range of pension and retirement planning services, which are designed to enable our clients to fully understand the range of pension schemes available to them, and the individual benefits of each scheme; so that they can make informed decisions about their retirement planning.
In addition to discussing the various pension schemes available, our independent advisors can also help you look at the wider aspects of retirement planning, such as discussing how much you are likely to need to save for retirement; whether your pension is secure; and whether you have minimised your tax liabilities.