Seasons in the sun...@PensionsGirlieBlog 12.6.18
Being a geographically diverse organisation means that it is good practice for Intelligent Pensions to hold an annual teambuilding event when we can all get together in one place and build/rebuild relationships between our staff. I am not going to give you the details of this year’s event but suffice to say there is a lot of fun to be had by a group of individuals of all ages (and sizes) when they get the chance to step away from the day job. It did however mean that for the first time I did get to see all my colleagues in their be-shorted glory while exposing my own legs to the critical gaze of the masses.
Our employees cover the full spectrum from the young and beautiful who look (really) good in their Daisy Dukes to those who are younger-at-heart than body and (thankfully) chose the just-above-the-knee look. The thing that holds us together is that we all work for a firm that is dedicated to helping people to enjoy the best retirement they can afford.
For the truly young the future is uncertain. The chances are that they will live longer and healthier lives and retirement in their 60s is a vanishing prospect for many. Many do not believe the State Pension will even exist when they come to retire, and it is certain they will have to wait a lot longer before they get it as the population ages.
Pensions are probably the last thing on their minds (unless they work for a pension company), however automatic enrolment means that most will at least start saving even if it is not enough or doesn’t last long. Recent reports show that most of our young women will earn less than their male counterparts over their lifetime, although there will certainly be exceptions. My message to these guys is – get in the saving habit early and make sure your financial future does not totally depend on other people. It is much less effort to work towards a goal slowly and steadily than by assuming you will be fit enough to make up the gap later on.
As with most groups, the bosses and elder statesmen are the ones who are most likely to be well off in retirement. Most of our guys have worked in pensions for years and it would be surprising if they hadn’t accumulated significant pension savings, but this could equally apply to people who have had long term employment with one of the larger employers in the UK. The message here is that you have worked hard to get where you are, it is important that the decisions you make now make the most of your savings for you and your family.
The group I worry most about are the guys in the middle. The ones who are struggling with mortgages and childcare, possibly also supporting ailing parents and almost certainly without any DB pensions. It can be really tempting in these circumstances to view a pension as an unnecessary luxury and so far off it cannot compete with the need to fund the children’s activities and a good family holiday.
My message to them, based on both personal and professional experience, is that you will get through this period and when you do you will be really glad you did keep the pension payments up. Your pension could be the difference between having to work until you drop or being able to choose how and when you want to ease up.
So however you look in your shorts, and however much you are enjoying the summer, don’t forget you need to save for colder days in the future.