Supporting the Living Pension

As Financial Planners we always encourage people to be thinking ahead to their retirement, building up a pension pot that will help them to meet their future needs.  It’s an unfortunate fact that many people aren’t currently doing this.  For example, research – from the Resolution Foundation in 2022 – showed that four out of five workers, and 95% of low-paid workers, are not likely to be saving enough towards their pensions.

Here at Investing Ethically, we’ve been signed-up to the Living Wage initiative since 2018.  We’re now also accredited to the Living Pension – a newer national initiative which encourages employers to step-up their support for their employees.

The Living Pension is a voluntary savings target for employers, to help workers build up a pension pot that will provide enough income to meet basic everyday needs in retirement.  The standard sets out a minimum contribution – equivalent to at least 12% of the full-time Living Wage salary (with at least 7% paid in by the employer).  For comparison, a standard Workplace Pension requires 8% (with the employer only required to contribute 3%).

We think that Living Pension is a great initiative – helping to tackle what’s a real problem.  We really encourage employers to sign-up!

If you’d like to talk more about your retirement planning, and how Investing Ethically might help, please get in touch.