Retirement planning

Avoid rash pension decisions and beware scams, says FCA

Regulators are urging savers not to make any rash decisions about their pensions during the coronavirus pandemic owing to an increase in scams.

The Pensions Regulator (TPR) and The Financial Conduct Authority (FCA) say fears over the impact of the pandemic on markets and personal finances may make savers more vulnerable to scams or making a decision that could damage their long-term interests.

The coronavirus outbreak has created a financial hit for all kinds of companies, including those listed on the stock market that pension funds invest in.

Six ways to turbocharge a small pension

The general rule of thumb in order to maintain a comfortable lifestyle in retirement is to aim for two-thirds of your salary, so if you earn £60,000 a year, you should target £40,000 a year in pension income. The exceptions are high earners, who may find that as little as 50% of their salary is adequate for their needs.

Our 10 golden rules of investing

When it comes to the world of investing, there are various traps investors need to navigate. But there are also certain steps that can greatly increase the chances of investment success. Such basic principles are by their nature nothing new; indeed they are subjects Money Observer has covered extensively over the years – but we think if something is important it is worth repeating. With this mind, we pull together 10 golden rules for investors.

- How to invest: explore our resources

How to get your investments into shape ahead of retirement

Wobbly markets may have given those contemplating retirement pause for thought. In recent years, managing a retirement portfolio has been like falling off a log: as long as the portfolio is invested in financial markets rather than cash, it’s been going up. However, recent volatility suggests this ‘in it to win it’ approach may not be as effective in future.  

Controversial call for state pension to be means-tested

The International Monetary Fund (IMF) has called on the UK government to consider means-testing the state pension.

Such a move, it is claimed, would make the system fairer and more affordable, with the IMF noting that means-testing would ‘improve sustainability’ and ‘safeguard the most vulnerable’.

Revealed: the amount you need to save to secure a comfortable retirement

UK savers need to put away seven times their annual household income to maintain their current lifestyle in retirement, according to a new study.

The research, carried out by Fidelity International, calculated that 13% will need to be tucked away from the amount earned each year to meet this milestone, from the age of 25 to 68.