--- title: "How much will you need to retire? | Pensions Advice UK" url: https://pensionsadviceuk.com/how-much-will-you-need-to-retire/ description: "How much will you need to retire? A quarter of savers approaching retirement risk not having an adequate pension. What decides how much is enough." last_updated: 2023-10-19 publisher: "Pensions Advice UK (a trading name of GAP-GNX Ltd)" language: en-GB --- Guide # How much will you need to retire? Quarter of savers approaching retirement at risk of not having an ‘adequate pension’ Last updated 19 October 2023 **Written October 2023.** Tax allowances, limits and pension rules may have changed since then, so some figures here could be out of date. For current information, see our guide to [working out if you can afford to retire](https://pensionsadviceuk.com/can-i-afford-to-retire/). One of the biggest mistakes you can make is not saving enough for your retirement. This can leave you struggling to make ends meet in your later years, and may even force you to rely on others for financial support. It’s never too early to start saving, and the sooner you start, the better off you’ll be. The question of whether or not you are saving enough for your retirement is a difficult one to answer. It depends on a number of different factors, including your age, your current income, your anticipated expenses in retirement, and the amount of time you have left to save. ## Cost-of-living crisis According to a new survey just over a quarter of savers surveyed (26%), who have a workplace pension, think that their current amount of pension saving will not be enough to get by on when it comes time to retire[1]. With UK households feeling the pinch off the back of the cost-of-living crisis, war in Ukraine and two years of COVID-19 restrictions, savers have reported that they have long-term concerns as to their financial health when they stop working. ## Low-income households In the survey, those aged between 35 and 54 (29%) were most concerned that they wouldn’t have enough to live off, compared to those aged over 55 (20%). Just under a third of women were concerned (31%), compared to one in five men (21%). Furthermore, 35% of those in low-income households – whose total income is up to £14k – and 31% with an income £14k – £28k stated their concerns. This figure drops to just one in five (20%) for those in households with an income of over £48k. ## Minimum standard of living One in five people surveyed (21%) – who have a pension – say that they save into a pension to ensure that they have a minimum standard of living in retirement; a pension that meets all their basic needs. The finding show that a majority of people save to get either a moderate (41%) or comfortable (33%) Retirement Living Standard. However, far fewer people think their current pension saving will achieve this with slightly over a quarter (27%) saying moderate and just 14% comfortable. ## Reaching your future goals There are some key questions that will help give you a sense of whether you’re saving enough for retirement. These include; How much have I saved so far? How much will I need to save? What is my expected rate of return? What sources of income will I have in retirement? Keep in mind that these are just general guidelines. The best way to know if you’re on track for retirement is to obtain professional financial advice to develop a personalised retirement plan and make sure you’re on track to reaching your goals. n **Source data:** *[1] The research was conducted on behalf of the PLSA by Yonder Data Solutions from 10/01/22 to 11/01/22 with a nationally representative sample of 2,093 adults.* A PENSION IS A LONG-TERM INVESTMENT NOT NORMALLY ACCESSIBLE UNTIL AGE 55 (57 FROM APRIL 2028 UNLESS PLAN HAS A PROTECTED PENSION AGE). THE VALUE OF YOUR INVESTMENTS (AND ANY INCOME FROM THEM) CAN GO DOWN AS WELL AS UP WHICH WOULD HAVE AN IMPACT ON THE LEVEL OF PENSION BENEFITS AVAILABLE. YOUR PENSION INCOME COULD ALSO BE AFFECTED BY THE INTEREST RATES AT THE TIME YOU TAKE YOUR BENEFITS. THE TAX IMPLICATIONS OF PENSION WITHDRAWALS WILL BE BASED ON YOUR INDIVIDUAL CIRCUMSTANCES, TAX LEGISLATION AND REGULATION WHICH ARE SUBJECT TO CHANGE IN THE FUTURE. YOU SHOULD SEEK ADVICE TO UNDERSTAND YOUR OPTIONS AT RETIREMENT. ### Would you like to speak to an adviser? Tell us what you need help with and we’ll introduce you to an FCA-authorised adviser. It’s free to enquire. [Get started](https://pensionsadviceuk.com/qualified-advice-request/) ### Important information This content is for information only and should not be considered legal, tax or financial advice. Pensions Advice UK is a trading name of GAP-GNX Ltd. We are not authorised by the Financial Conduct Authority and act solely as an introducer. The value of pensions and investments can fall as well as rise, and you may get back less than you put in. Tax rules can change and depend on your circumstances. ## Speak to an FCA-authorised adviser Tell us what you need help with and we’ll introduce you to a qualified specialist. Start your enquiry 020 3778 0939 We’re an introducer, not an adviser. [Call us](tel:+442037780939) [Enquire](https://pensionsadviceuk.com/qualified-advice-request/) --- Pensions Advice UK (a trading name of GAP-GNX Ltd) connects UK residents with FCA-authorised pension advisers and pension tracing services. It is not FCA-authorised and does not give financial or tax advice. It acts solely as an introducer to FCA-authorised firms, who provide any advice and explain any fees before you proceed. This is the text version of https://pensionsadviceuk.com/how-much-will-you-need-to-retire/. More pages: https://pensionsadviceuk.com/llms.txt