Marriage Week 2018 - Thinking Ahead
This week is official marriage week 2018, brought to us by the Marriage Foundation – the national champion for marriage. This year the week is focussing on thinking ahead and encouraging married couples to set 5 goals for their relationship for the next 5 years. According the Marriage Foundation, planning ahead and thinking about the future is fundamental to a happy healthy marriage, the same can be said for pensions.
The concept of having “5 goals for 5 years” is a great one to give focus. So we have added our key points on pensions to add to the relationship goals.
- Life after love
Unfortunately, bereavement happens. Making sure that a partner is provided for once you’re gone is crucial. Depending on the type of pension you have they may be entitled to a dependant’s pension. However, while many people will leave their pension fund to their partner, it is also be possible to leave this others. Many pension schemes will ask you to nominate a beneficiary (often using what is called an Expression of Wish form) so it is important to advise them of who you want to leave your pension to, and to update this if circumstances change.
- Honesty is the best policy
It isn’t just for couples to be honest about joint pension planning goals, but for individuals too. Everyone should think realistically about their financial needs now and in retirement, making sure that you’re putting away enough for later, but not so much that it will impact today. You should consider what bills you might need to pay (including a mortgage or rent) and any other expenses, taking into account what will be covered by any State Pension entitlement you may have as an individual or as a couple, and what will need to be covered by other income.
- Commitment is key
Like a good marriage, committing to pension saving is essential for a long and happy retirement. If you’re automatically enrolled in a workplace pension scheme seriously think about staying in and paying more, if you’re able. You will benefit from tax-relief on what you put into the scheme and your employer will be putting in money for you too. The cost of living can make it hard to find money for savings but it is important that you put money away for the future. Pay rises or bonuses make great one off contributions and remember, what you put in now will pay off for you later.
- Seek help and guidance
If you ever have a question about your retirement planning or about pensions, you only have to ask us for help. Our guidance is free and impartial, and available no matter what stage of life you’re in.
For you, the pension question may only come once in your lifetime but we hear about some of the pension dilemmas everyday so, like a good marriage, we can share our experience and knowledge with you.