Lack of understanding of pension benefits

Published on Friday 4 July 2008 21:47

EIGHT out of ten Scottish workers don't know what kind of pension benefits they will be entitled to at retirement. A survey conducted by employee benefits provider B&CE Benefits Schemes also discovered that, while most people believe the state won't be able to provide for them as pensioners, just over a quarter know how much they need to put away to compensate. It also found that just four in ten Scots were aware of government tax incentives for pension saving, while a similar proporti

"Just as holiday pay doesn't cover the cost of a holiday, the basic state pension will not cover more than a basic level of subsistence," said John Jory, deputy chief executive of B&CE Benefit Schemes. "People should not expect to continue the standard of living they have enjoyed throughout their working life at retirement unless they have saved in a pension."