While there are significantly more opinions on sports teams and tactics than there are on pensions, investments and retirement, the influx of information can add pressure to your decisions. While the same rules and legislation applies to everyone when it comes to pensions and retirement, how and when you get there is very much personal to you, and one size does not fit all.
The increase of financial ‘experts’ featuring on social media and mainstream media is gaining in popularity. Bringing these important topics into the spotlight is a positive step for educating and understanding finances. However, very few of these experts are qualified to provide financial advice. Despite the increase in consumer interest in pensions and retirement, the engagement for financial advice in the UK remains low, possibly influenced by the perception that financial advice is considered a reserve of the very wealthy. It is far more accessible than many realise.
Understanding the pension or pensions that you have and making the right decisions is a key part for building financial security in retirement and it doesn’t have to be done in isolation.
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According to the Financial Conduct Authority, in 2024/25, only 30% of pension plans accessed for the first time were arranged with the support of regulated advice. Nearly seven in ten people made one of the most significant financial decisions of their lives without professional input.
State pensions are government-provided income based on your national insurance contributions. You can check details on your state pension using the state pension calculator available on the gov.uk website (https://www.gov.uk/check-state-pension).
Workplace pensions are employer pension schemes with valuable matched contributions to boost your savings are a great way to build up your pension.
If you have had multiple employers and as a result workplace pensions, it is worth taking time to check you have details on all of these. With an estimated 3.3 million unclaimed or lost pensions in the UK worth an approximate value of £31.1 billion, it’s worth having a look back to see how it could help your future. The Money Helper website provides pointers on where and how to locate old or lost pensions and the Government have a free pension tracing service. (https://www.moneyhelper.org.uk/en/pensions-and-retirement/pension-problems/tracing-and-finding-lost-pensions)
Private personal pensions can provide you with additional flexibility and there are different pension options available that can apply depending on your employment status, whether you are self-employed, a business owner, or a shareholder within a business.
A qualified pension expert will review your situation, check the details of your pension and provide advice on building up your pensions tax efficiently well ahead of the time that you need to access it.
Regular reviews of your plans can keep you on track. What was suitable and required when you first set up a pension will have evolved and changed over the years, and is worth a closer review as your plans to stop work come closer. Having a clear strategy and regular financial reviews ensures you will have sufficient income to support your lifestyle when you stop working and be financially fit and comfortable for the duration of your retirement.
Janice Dallas is a financial planner at AC Wealth (Aberdein Considine Wealth) in Glasgow