Pensions: What You Need To Know

In addition to the day-to-day pressures of life, sometimes looking to organise your finances can seem like a daunting process.
Where do you begin? We know that we are continually being told to set money aside throughout our life. Perhaps you are saving for a mortgage, or perhaps you are working towards moving house.
You might be saving for a new car, or you could just be saving for a ‘rainy day’. Whatever your motivation, placing some money aside each month is a certified way of working your way towards an attractive financial goal.
However, one goal which may go unnoticed, especially in younger people, is your pension.

What Is a Pension?

Often overlooked earlier in life due to other financial factors which might take priority, such as saving for a mortgage, pensions are incredibly important as a way of guaranteeing your financial freedom in later life.
Simply put, pensions are an investment in your future: you place some money aside each month which you will then have access to once you reach retirement.
In addition to this money are the various workplace pension schemes which were made mandatory in 2018, and that ensure, if you qualify for them, that your employer must also contribute to your pension pot.
A pension provides you with financial stability once you reach retirement age, which is currently 63 for women and 65 for men in the UK.

Why Do I Need a Pension?

There are several reasons why you should contribute to your pension from as early an age as you financially can.
First and foremost, as previously mentioned, it is a fantastic way to ensure that you have financial support when you achieve retirement age.

With some pensions allowing the individual to access it from the age of 55, the more that you put in today means that the more you have access to later.
In addition to this, some pensions can benefit from a tax relief on contributions, so you could potentially be earning from saving your hard earned money.

Pension Advice in Lancaster

For confident advice that you know you can trust, look no further than Burton & Fisher.
Our experienced team of experts can help guide the way to total financial understanding, and we can even advise you on the best options to make the most of your savings before you reach retirement.
So don’t delay and contact us today – whatever your current circumstances are, we can help advise on the wealth of options available.