During their careers, most people will be aiming to save enough to have a comfortable later life – but some will be hoping to have a more luxurious retirement. For those who want to have more holidays, a bigger food budget and a new car, it is important to start thinking about the future now. “The more you save during your working life, the more enjoyable your retirement will be,” says Becky O’Connor, director of public affairs at PensionBee.
But how much do you really need to put away each month to have a luxurious retirement ? We asked the experts to crunch the numbers so get yourself a pen and paper and read our guide to securing the retirement of your dreams. When can I retire and what sort of lifestyle will my pension pay for? When you can afford to give up work is largely determined by two factors: how much you have put aside and what kind of lifestyle you want. More Britons are saving in a workplace pension than ever before, according to the Pensions and Lifetime Savings Association (PLSA).
Nowadays, we have more information, more choices, and more responsibility for our retirement savings . The earlier you retire, the more you will need to save to maintain a good standard of living. Analysis by wealth manager Quilter found that you need £163,000 more saved to retire at 55 compared to retiring at 65 and leading the same lifestyle.
According to the PLSA, the typical income needed for a moderate retirement is £31,300 for a single person and £43,100 for a coupl.