A pension is simply a way of saving money for your future retirement. As we live longer and the retirement years increase it is advisable to start saving early.
How do I start a pension?
There are two main ways of starting a pension, setting one up independently (personal pension) or getting one through your employer. You are not restricted in having one or the other, you can have both.
With so many options on the market, choosing a pension can seem daunting.
What about my circumstances?
You can set up a personal pension whether you are employed, self-employed or unemployed. How much you save depends on your individual circumstances.
As a guide it is suggested that you divide the your age by half and use that as a percentage of your earnings, so a 20 year old should be saving 10% and a 30 year old 15% and so on.
From 2012 there will be a automatic enrolment into a pension at work. People who are employed and earning more than £5,035 will be eligible on this scheme.