To ask how much is in your pension pot if your mid 30s?

[Kanfuzed123]

I started working in a proper PAYE job at 28. Didn’t know the foggiest about pensions and the place I worked in did the bare minimum which at that point was like 1%/2%.

ive moved around a bit work wise so got 3 separate pots and did some life admin today and saw I’ve got 30k. I’m 33.

my husband has around the same. His pension provider has a calc that shows if you continue at this rate you’ll have X amount by state retirement age and can expect X amount per month and what sort of lifestyle it correlates to. DH’s calc said it would be 3k a month which correlates to a moderate lifestyle. That whole thing seems baffling, since when is 3k a month (no mortgage) moderate and not comfortable but whatever.

maybe that should fill me with confidence that it will be enough in retirement but it doesn’t really. 30k at my age seems low? Any one?

Screenshot

Does that include after tax OP...I'm no expert but I'm sure pensions are taxed, so bear that in mind when doing your calculations!

Honestly, I'm 32 and don't have one. They brought in pensions just before u left for maternity 10 years ago where I worked and we have been self employed since then and just never have enough after paying staff etc left. Not sustainable but it is what it is for now.

Yeah pre tax

I would disregard the state pension in any calculations (I definitely am). Even if it still exists I think it's almost certain it'll be means tested - hence all the talk about cutting / scrapping NI so people can't say they've "paid for it their whole life" like they do now (even though what they've paid in is probably nowhere near the amount being paid out).

And remember it's taxed the same as income. I also wonder if it's a projection but without taking into account inflation, that's the only way I can see those figures making sense.

For example £3400 TODAY is the same as £2788 in 2019. So one can only guess what £3400 a month in 20 - 30 years would actually get you.

Yes that’s what I was thinking

I'm 35, have been working ft for 11 years and have £25k in my pot, I've recently combined a few old ones together to make life easier. Honestly who knows what's going to happen with the state pension. I'll just keep paying in and try not to worry about it.

God knows, not a lot. Last time I checked it was about £1800 a year but i still have minimum of 28 years to go before retirement so hopefully will do OK. I have a rental property abroad to prop up my pension + state pension etc. I live quite frugally so I am not too fussed as long as it is somewhere around £1500+ a month after tax. I could contribute more but I have an uneasy feeling about pensions. Several of my family members kicked the bucket before reaching pension age so I would much rather have a healthy savings/investment account with instant access to my money.

Hmm OK still seems odd. I earn similar to you with a bigger pot and the same retirement age and mine is predicting way less. I would definitely recheck that.

About 5 grand. As a lone parent since I was 18 I've never been able to put more away.

the Calc has an assumed rate of inflation of 2% so is attempting to show the figure in real terms

I’ve rechecked and that’s the screenshot perhaps it’s how the investment is performing

Yeah I absolutely wouldn't rely on that. Seems way out! Either way carry on as you are, something is better than nothing and you're doing as well as you can by putting the max in. You can pay more in but they just won't be matched by your employer.

See this stresses me out.
I've not long turned 30, and only have 6.5K in mine.

I started late - mid-twenties due to going to Uni late. But even then I was only making 23K a year and saved the minimum as I was saving for a house deposit so prioritised that.

I've upped my contributions to 8% employee and 6% employer and have a better salary, but I'm still only in the average earnings bracket.

Current projections are allegedly 17K a year in today's money. Which will probably be bugger all in 30 years.

I'm going on mat leave this year, so I don't want to up my contributions much more as I want to have enough money for the here-and-now iyswim.

I really don't know what the best thing to do is :(

Assuming OP is on £40k with total payments of 13% / £433 a month, if she contributes for another 30 years with an annual gain of 5% she'd have £495k by 63.

An annuity of £25k a year isn't unrealistic.

Sounds like you've got the right balance between mat leave and pensions. Keep as you are, live for now AND for the future. And try not to stress.

I'm 33 and I have around 40ķ in 2 different ones

dh has around 60, and me around 55 as base. I put the actual figure upthrad

Why would the standard life calc be way out, what are you basing this on ?

Experience.

I don't think those projections sound wild, if you keep working and contributing for the next 30 years. I am a pessimist though, and dont factor in the state pension as I dont expect to receive it. 30 years at 5% and those contributions is over 500k, 25k is 5% of that.

I would put as much as you can in though, compound interest is a wonderfuk thing. I am late 30s and mine is pot is quite large, but I want to retire early (and well!)

Of what?

i work In finance but not pensions but wouldn’t have through SL would use hugely inaccurate calculations

Do you mean wild or right?

In my mid thirties, after a couple of transatlantic moves and the resulting spotty work history, I had nothing.

Now, in my mid forties, I have around $325k.

I began to save aggressively and actually up to the IRS maximum. I took the "pay yourself first" mantra to heart. It's the time value of money that matters - save early and it will build. Best of luck to you.

Wild, as in I don't think they sound crazily unrealistic. I got to 25k with a rough estimate, which is about your screenshot - state pension.

I would aim for more though, i feel 2% inflation is conservative