“The overall pension contribution is now 9 p.c, and the pension pot worth is estimated to extend to £139,699 – a rise of £15,522, a rise of 12.5 p.c of the unique pot.
“Nonetheless, if his employer had been to match his one p.c improve, the whole pension contribution can be 10 p.c, and the pension pot worth is estimated to extend to £155,221 – an general improve of £31,044. That is greater than 25 p.c improve of the unique pot.”
Instance 2: Caroline, 25, incomes £55,000 per yr
“Caroline is 25 and earns £55,000 per yr.
“She additionally plans to retire at 68, and pays 5 p.c of her wage right into a pension, and her employer pays three p.c.
“It’s estimated that her pension pot worth at age 68 can be £273,189.