According to recent research from Standard Life, the vast majority of under 45s with pensions are not aware of the total value of their pension pots or the income they can currently expect to receive in retirement.
Only around a quarter (26%) of under 45s with pensions know what their pension pots are currently worth and just one in five (21%) say they know what income they are expecting when they retire. Furthermore, many of them (34%) already have more than one pension pot.
Commenting, Standard Life’s Alistair Hardie said:
“Our research shows that most of us don’t really know the value of our pension until we are older and in the run up to retirement, despite the fact that we are likely to be receiving annual pension statements. The problem is that by not keeping a close eye on our pensions in the earlier years, we run the risk of falling behind and leaving any top ups until the last minute, when it may be too late to catch up.
“Alongside our homes, our retirement savings are likely to be one of our biggest assets. So by not keeping track of the value of our pension pots and how they are performing, we may be missing out on opportunities to take action and really are leaving ourselves vulnerable at a later age.”
Standard Life’s research has also found that over two fifths (43%) of people in the UK with pensions have two plans or more, perhaps built up over time as they move jobs. And many of the under 45s (34%) with pensions already have more than one, despite being younger.
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