Age at next birthday assumes six months to next birthday. Pension schemes are by far the most effective way of investing for retirement because of the tax advantages. The table below illustrates what 1,000 net invested in a pension scheme, ISA or building society account could be worth after 10 years, assuming a 7per cent growth rate. What you will get back depends on how your investments grow. You could get back more or less than this.
All insurance companies use the same rates of growth for illustrations but their charges vary.
They also use the same rates to show how funds may be converted into pension income. Do not forget that inflation would reduce what you could buy in the future with the amounts shown. Your pension income will depend on how your investments grow and interest rates at the time you retire. The maximum a couple can receive is 135.00 per week if both qualify for a full Basic State Pension in their own right. All employees are automatically a member unless they contract out through a company pension or personal pension.