What percentage of your salary are you paying to your pension

[Kerry987]

I am getting a bit concerned that DH and I don’t have much pensions contributions and want to increase it so would like to have an idea of what percentage people contribute. I know it will vary depending of people’s circumstances but want to have a rough idea.

Thank you

Oh and employer puts 7% in too. So my 8% plus employers 7%.

14% work pension (max 7% matched by employer)

But we save 50% of our joint income to plan for retirement, thats pensions, stocks and shares ISA and some share schemes. Obviously employer contributions help with this. We're early 30s and making the most of it before baby is born. Fans of the FIRE movement principles

@WombatChocolate and others, Money Saving Expert has a forum section and one of the Boards is on Pensions. You can post your plan on there and the knowledgeable bods will let you know if it's a good plan and /or other things to consider (tax implications etc).

Thank you for this thread. I changed employer a year ago and didn’t really check until today. My employer contributes 3% and I have been contributing 4% I currently have a whooping £1520 in the pot although at least I now know this and have log in details and I can log on and make overpayments. I put in £450 so still quite a bit short.

I’m 40 years old and mortgage and debt free, so this is something that I really need to work on. I even paid off my student loan yesterday. I do have some savings and DH has a good pension pot and I have some previous pension although I don’t know how much.

Considering I’m reasonably financially savv, this is an area I really have neglected, probably because retirement is so far away and there is a state pension.

It’s a shit excuse seeing as ideally I would retire as early as possible.

@addictedtotheflats

9.3% NHS. Assuming I stay til I retire I will have 44 years service. Maybe in the future when I have less commitments Ill increase it. Im 32, 1 child

Gosh, you used to be able to retire after 30 years of NHS service. I remember it clearly as my Dad retired 15 years ago at the age of 55, and that was their policy then.

@Dashel - congrats on paying off your student loan. This is one of my current financial goals!

I pay 20% into mine, 15% employer and no requirement for employee contribution but I do 5% through salary sacrifice. I've dropped from contributing 15% for the past few years as our net nursery bills for our two children are £1450pm (after TFC deducted).

I originally started the higher contribution as I thought there would be a change to the 40% tax relief (hasn't happened), then I had two maternity leaves close together and my employer honours the total paid in, even when you drop to SMP/£0 so I kept it going until 8 months after I returned to work after my second baby.
I'm a reasonably high earner (£70k pensionable/basic salary), age 41. I have nine years in a final salary govt pension that can pay out at 50 and I'm planning to retire at 55 (stretch target as my kids will be at uni then so 57 might be more realistic. My DH is younger but I've factored in him retiring at the same time.

I have an annual budget projection with how much we'll need to bridge the gap between our requirements and pension earnings and plan to use S&S ISAs to manage cashflow shortfalls and life events for the kids (house deposits, uni etc). I've not showed DH, he's not interested in money but will be pleased to retire in his mid 40s, I'm sure

I overpaid into my final salary scheme to "buy back" service even in my 20s. I was a div with personal budgeting and got myself in a pickle with debt but had one eye on retirement. Would still go back and tell myself I had priorities a bit off!

Ps I'm an accountant, and a spreadsheet obsessive

@Dinosauraddict, it did feel pretty good to pay it off.

Not having a mortgage has been a massive weight off my mind. It took DH a while to get on board and now I am obsessing over my pension. I have contacted payroll to ask them to increase my percentage to 17% so along with the employer contribution that makes 20%

Now I now how easy it is to make individual overpayments I also want to challenge myself to build up a decent pot. I already have the maximum in premium bonds as does DH and he has a very large pension pot but then I also want to save up some cash to book a holiday as soon as we can go away on a luxury’s holiday that feels normal (no masks, risk of quarantine etc).

20%

I am very impressed by how so many people are so great with financial planning and are so well setup for retirement. We have only started doing this now, mid 40s and dh over 50s which is not that far from retirement.

The earlier you start planning and bugetting the better.

My private pension is tiny but I recently got a job with a company in the lgps just for the pension! Now I can never leave... I wish I'd known more about this when younger, but doing what I can now.

What is LGPS and how much is their pension? I think I need a job there.

@Kerry987 I think it means local government pension scheme? Most public sector pensions are pretty good.

Thank you NeverT. I understand now

I used to pay 15% and employer 21%.

Circumstances have now changed and i pay in whatever I need to minimise tax. Some years that is 100%