How much of my salary should i be putting Away

magicmaria

Hi can anyone help please I earn £28,000 p.a. and my company currently put in 5% into my pension I put in £20 per month - been doing this for the past 7 years - realasticly how much should I be putting away each month to provide me with a decent pension.

i.e, if I put 5% of my wages in also how much I am looking at getting when I retire

sorry if this is a dumb question but I havent got a clue about pensions.

xzibit

I earn less than that and put £50 a month into my pension, along with works contribution!!

magicmaria

I know but I am also £38000 in debt so am trying to clear my debts as well as trying to secure my future

Tallymanjohn

You should be able to ask for a pension forecast from your company.

xzibit

magicmaria wrote:

I know but I am also £38000 in debt so am trying to clear my debts as well as trying to secure my future

Well you didnt say that did you!! :rotfl:

jonathon_hart

Very very fly on the wall, but assuming 31 years investment, 7% investment return 3% salary growth, your contributions level and 2.5% inflation. I got about £10k in today's terms - but as said before ask the administrator for a rather better quote than that.:rolleyes:

johnofhertford

There is a recommended contribution, which is to pay half your age as a percentage of your salary, e.g. at age 30 pay 15% of your salary (including your contributions and employer contributions). No guarantee what pension that will give you though - depends on investment performance and annuity prices when you retire.