A new survey has found that 32% of people think that they’ll need a boost from their retirement savings in the form of inheritance, to have enough income later in life.*
Almost 40% of those aged 18 to 54 said they would even rely on it, seeing inheritance as essential in order to afford life after work.
Take control of your future
While lump sums can be an effective way to boost your retirement savings quickly, relying on inheritance for life after work may not be the best approach. Financial situations can change quickly, for example if an elderly relative needed to pay for additional care. Plus, family pictures change too – new partners, kids, and even grandchildren change how inheritance might be divided. The best course of action when it comes to retirement savings, is to take control of your future and start saving as soon as you can.
A good place to start is maximising the benefits of your workplace pension, if you have one. Typically, when you contribute 5% of your annual salary, employers will contribute a minimum of 3% – with some opting to pay more. These contributions are also typically eligible for pension tax relief, which is where you receive the tax you would have paid on your income.
If you’re taking full advantage of your workplace pension, a personal pension can be a great way to bolster your savings. Plus, a personal pension can give you more flexibility on where you invest your money than a workplace pension. With the Moneybox Personal Pension, you can:
- Find and combine lost pensions into one easy-to-manage Moneybox Pension
- Choose where you want to invest your retirement savings
- Get a 25% bonus from the government as tax relief on contributions
Payments you make into your pension won’t be accessible until the minimum pension age (currently 55, increasing to age 57 from 2028). Tax treatment depends on individual circumstances and may be subject to change in the future. Capital at risk.
*Survey of 2,000 people, conducted by Opinium in May.