A Journey to Pension Confidence: Navigating Pension Engagement Season

Hello there! I’m Ernestina, and welcome to the next blog in our series: “Helping you to be money well.”

As Pension Engagement Season approaches, it’s a great time to pay your pension some attention. This period is perfect for reviewing your retirement planning and ensuring you're set for the future. 

In this month’s blog, we’ll share practical tips to help you stay engaged with your pension savings. Whether you're new to pension planning or revisiting your current approach, these insights will help you navigate the season effectively and confidently.

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1. Get started with your pension if you don’t have one already – the earlier you start saving the better, as the longer you have to save, the more time your pension savings have to potentially grow. Most people have a pension through their employer, known as a workplace pension, where their employer pays in too. However, you can also take out a private pension with a pension provider like Scottish Widows.

2. If you already have a pension, check how much you’ve saved – you can do this through your pension’s online account and pension app if they have one, and by checking your annual benefit statement which you will receive from your pension provider once a year. This will show you how much you’ve paid in, its current value, and how much you’re on track to receive in retirement.

3. Review how much you’re paying into your pension, and consider if you could pay in a little more – Our Meet Your Future Self tool can help you picture what you’re on track on receive when you retire, and what you might look like when you get there! If you have a workplace pension, you should also check how much your employer is contributing to your pension. If you pay in more, they may pay in more too. This could really help build up your pension pot in the long run.

4. Take an interest in your pension and have a plan – your pension is likely to be one of the biggest investments you’ll make across your life, so keep track of what you’ve got.

5. Get to know the state pension – This is a regular payment from the Government that most people can claim when they reach State Pension age in their late 60s. Find out when yours is due and how much you’re entitled to on the Government’s website.

6. Talk about your pension – money is often a taboo subject, but talking about your pension is great to build your understanding, as we know they can often feel complicated. Money Helper has lots of free guidance and support to help you better understand your pension. And if you’re over 50, Pension Wise offers free guidance sessions to help you understand your retirement options. If you would like to speak to a financial adviser, you can find one at Unbiased.co.uk, but keep in mind they will likely charge for any advice they give.