Are you saving enough for retirement?
Prudential's 'Class of 2014' research is its seventh annual study tracking the future financial plans and aspirations of people planning to retire in the next year.
Its most recent finding is that women's expected retirement incomes are £6,700 a year lower than men's.
£12,200 a year - average pension for a woman
£18,900 a year - average pension for a man
There are several reasons why women's pensions can be lower than men's.
- Women are more likely to have had a career break to bring up children, meaning that they have had gaps when they have not paid into a pension.
- Women are more likely to have worked part time, so their contributions may have been lower.
- Women's salaries on average may be lower than men's, so their contributions may be proportionately smaller.
Michelle Cracknell, Chief Executive of The Pensions Advisory Service, said: “Women generally have lower pensions than men and there are many obstacles that prevent women from building up enough pension savings, such as lower lifetime pay, and career breaks due to caring responsibilities and bringing up children.
“At TPAS we have an ongoing initiative to help women with their preparation for retirement and this research shows how important the information that we provide is to women planning their retirement.
Our mission is to make pensions accessible to everyone, so if there is anything you do not understand, please contact us and we will be pleased to help. To discuss any pension-related issue: