reducing working hours pension question

luvchocolate

I reached state pension age in September last year, as I work full time I deferred this.
I am finding my job hard now at the 63 and am thinking about reducing to 3 days a week in November
I still want to defer until next summer to give me the income I will need for retirement at that time.
My question is should I continue to pay into my works pension when on reduced hours? I pay in 6% and employer 14% current value approx £84,000.
I will need to draw £200 per month from savings to cover basics until I retire next July and take both pensions.
I value your opinions as it was due to advice on here I defer my S.P

Many thanks

atush

If your employer is making a contribution, yes keep paying into your work pension.

When this money comes online, you could even perhaps afford to defer another year.

Given you are already in deferment, you are getting over 10% PA more SP.

luvchocolate

thank you for your advice, unfortunately my works pension will only be around £300 per month and given my rent is £450 deferring past retirement will not be an option, but I will continue to pay into work, thank you again

atush

I am talking about when you start to draw your pension. you ha ve an 84K pot, 21K of which is tax free. You could use this to help you pay rent for a year?

luvchocolate

Good point, I will do some more figures...I like to plan ahead and know which direction to go in, thanks again

atush

And remember the remaining pot can be drawn more heavily (ie DD not an annuity) until you decide to take your state pension, then you can cut back on drawing it?

You could always decide on an annuity later if you like.

luvchocolate

thats interesting not looked at it that way, at least I have plenty of time for research,
thank you again

atush

Come back and start a new post for opinions other than mine once you have lol?

kidmugsy

Here's another opinion. Both atush's suggestions are good.