Will my teachers’ pension contributions be enough?
Will your teachers’ pension contributions be enough to allow you to retire when you want to? With the increased pension age hitting the news yet again, there has never been a more important time to find out how much you will need on retirement.
Are you well prepared for retirement?
It is estimated that most people will want an income of around 2/3rds of their pre-retirement income, to allow them to live comfortably. Plans for retirement will obviously vary from person to person, but in a recent survey I did with teachers, the main plans for retirement were travelling, spending time with family/friends and, unsurprisingly, relaxing!
What about you? What do you want from retirement? Will your current teachers’ pension contributions allow you to live the life that you want to in retirement?
What age can you retire at?
The other thing that you must consider is what your Normal Pension Age (NPA) is. With the changes in the teachers’ pension scheme in 2015, it means that as the state pension age changes, so does the Normal Pension Age (NPA) for many teachers. Your NPA depends on your exact age and when you started teaching.
For many, the state pension age is already 68 and this will only rise. Another group of people in their 40’s is now predicted to have their state pension age put up from 67 to 68, 7 years earlier than planned. This will mean that their NPA may also rise. This trend may well continue.
Change is inevitable
We must accept that things need to change. With a smaller working population, supporting a growing population of pensioners, we simply cannot make the sums add up. Changes MUST be made to the state pension. There are various possibilities for this, but the government has chosen to go down the route of increasing the state pension age, therefore that is the situation that we must deal with.
I don’t think we can rely on the state pension, as well as our teachers’ pension. Who knows what will have happened to it by the time we come to retire. It is vital that we take control of our own situations. We need to be responsible for our own futures, if we want to live full and fun-filled retirements.
Will your teachers’ pension contributions be enough?
The first step in this is in finding out exactly what your current situation looks like.
To start thinking about whether your teachers’ pension contributions are enough and how well prepared you are to retire when YOU choose, then why not download my free PDF? It gives you step-by-step instructions to help you establish:
- your pension age
- how much your pension is worth
- the amount of state pension you will get
- how much income you are likely to need in in retirement
- your total likely retirement income
Download the FREE PDF and get started TODAY.
Find out today if your teachers’ pension contributions are going to be enough. Will they allow you to retire when you want to and to allow you to live life to the full then?
If you find that your retirement planning could do with a bit of a cash injection, I have some great ideas to help you to find more money to put towards your retirement plans.
If you have found this post useful, then please pop along and join my women’s only Facebook group, where I will help you to become happier, healthier and wealthier.
I am Eileen, Your Money Sorted coach, working with UK based female teachers helping them to become financially empowered. Being calm, confident and in control of their finances, allows them to concentrate on the things that are important to them. Previous clients feel that they can spend more quality time with family, friends and having fun. That has to be a great thing doesn’t it?