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When can I stop contributing to pension?

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  • steampowered
    steampowered Posts: 6,176 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    edited 25 March 2021 at 12:35PM
    It is likely to be worth continuing to contribute to your pension so that you can take advantage of employer matching.

    Even if your employer is only making statutory minimum contributions, stopping contributions entirely would be turning down a lot of free money from your employer. So it is better to plan to make reduced contributions rather than no contributions.

    You can reduce your contributions once you are satisfied that your pension fund will be big enough to cater for your needs in retirement. £70k is not a big pension fund so it will be a long time before that happens.

    When you reduce your contributions, the question is:
    - Would you rather have £100 now?
    - Or would you rather have £100 plus tax relief plus investment returns after pensionable age? 
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