Budgeting for retirement

Your standard of living when you retire is likely to depend on how much your pension is worth. It can help to have a clear view of how your investments are doing and how much you think you'll need to live on when you retire - including costs to support you later in life.

How much will you need?

You may not need quite as much money when you retire. You may have paid off your mortgage by then, and some of your expenses might be lower.

But it’s also likely that you’ll want to do a lot of the things you do now - like going for meals with friends. So, you just need to make sure you save enough to lead the lifestyle you want.

Our retirement needs and costs tool will give you an idea of how much you might need.

Check your progress

It's crucial that you check how much you have saved and how your investments are performing - especially as your retirement draws nearer. It’s a good idea to check on your pension at least a couple of times a year. Login and use our tool to see how much your pension could be worth, and if you’re on target.

If you find you’re not quite saving enough remember there are ways to increase your retirement income.

And, it's never too late to increase your payments. Adding a little more - or increasing your payments very slightly every year - can make a significant difference to the amount you get when you stop working. The value of investments can go down as well as up and may be worth less than what was paid in.

Always check your yearly pension statements. If you have more than one pension make sure you also check the statements from your other providers. And remember, you can check the value of your Standard Life pension online too.

If you need help tracking down old pension funds, you should contact the Pension Tracing Service (opens new window).

You can also get a forecast of your state pension. You’ll find more information on gov.uk (opens new window).

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The state pension

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