It’s never too early to save for your retirement


We get it, there’s a lot going on when you are starting your career. From buying your first home, to marriage, to starting a family, it’s understandable why planning for your retirement can often drop down your list of priorities.

Reap the reward of starting early

However, the earlier you start, the easier it will be to prepare for your retirement years. Every ten years you wait, may mean paying up to double to get the same pension income.

Let’s take a look at how delaying saving for your retirement may impact you:

  1. Karen and Tim would like to retire when they are aged 65
  2. Karen starts to save £200 p/month when she’s 30
  3. Tim delays saving until he is 45, meaning he will have to contribute twice as much p/month to help catch up

Not only will it be easier to save for retirement, but you can also benefit from compound growth, which simply describes the process of earning returns on your returns.

But, how much will you need?

To work out how much you’ll need when you retire, you’ll also need to consider how you want to live once you are retired: Are you happy to just have enough to just cover the essentials? Do you want to be live a more comfortable retirement? Or are you looking to live a luxurious retirement, where you might travel regularly?

There are a number of useful tools out there which can help you work out when you will be ready to retire, such as the Pension Calculator provided by Money Advice Service.

  • The information provided in this article is for guidance and educational purposes only. Police Credit Union Ltd. does not offer regulated financial advice. Please seek independent financial advice.

Related content

Your cookie preferences

We use cookies on our website to make your online experience better. Please see our cookie notice for further details or agree by clicking the 'Accept' button.

Your cookie settings

Below you can choose which kind of cookies you allow on this website. Click on the "Save cookie settings" button to apply your choice.

FunctionalOur website uses functional cookies. These cookies are necessary to let our website work.

AnalyticalOur website uses analytical cookies to make it possible to analyse our website and optimise for the purpose of usability.

Social mediaOur website places social media cookies to show you 3rd party content like YouTube and Facebook. These cookies may track your personal data.

AdvertisingOur website places advertising cookies to show you 3rd party advertisements based on your interests. These cookies may track your personal data.

OtherOur website places 3rd party cookies from other 3rd party services which aren't analytical, social media or advertising.