Published On: Fri, Sep 11th, 2020

Pension UK: Warning as 1 in 10 damage their retirement pot in this way | Personal Finance | Finance

Share This
Tags


The company said that for a 30 year old on a salary of £30,000, a loss of £45,539 from their pension pot could be made if they stop contributions for three years. 

Similarly, for a 50 year old who is earning £100,000, with a pension valued at the same amount, could lose £71,513 as a result of a three-year pension break. 

Britons will then be required to put in a significant amount of legwork to make up the money they have lost in a shortfall. 

Andrew Tully, technical director at Canada Life, commented on the worrying findings, saying: “With COVID-19 hitting personal finances harder than ever, it is not too surprising that many have started to view their pension contributions as discretionary.

“While a three-year pension holiday may seem like a minor break in the contest of a career spanning decades, our analysis shows that the long-term impact of that decision could be significant.



Source link

Most Popular News