Retirement Income Questionnaire

Welcome to your Retirement Income Questionnaire

What is commonly suggested as a target retirement income?

About 25% of your salary.

Between 1/2 and 2/3 of your salary.

About 100% of your salary

About double your salary.

In 2019-20, what's the most you can receive from the government each year under the full new state pension?

£5,000 per year

£7,850.50 per year

£8,767.20 per year

£10,000 per year

In 2019-20, how many years of "qualifying" National Insurance contributions do you need to make, in order to receive the full state pension?

20 years

25 years

30 years

35 years

In 2019-20, what's the minimum amount which your employer must legally contribute to your workplace pension?

At least 2% of your salary.

At least 3% of your salary.

At least 5% of your salary.

At least 7% of your salary.

How much are you, personally, required to also contribute to your workplace pension (on top of your employers' contributions)?

Nothing at all

At least 2%

At least 3%

At least 5%

In 2019-20, when can you start accessing the money you have been saving into your pension (i.e. workplace pensions and private pensions, but NOT your state pension).

After 55

After 60

Once you complete 20 years of "qualifying" National Insurance contributions.

Once you have paid off your mortgage.

When you retire, you can receive an income in a variety of different ways. What is the "income drawdown" option?

This simply refers to the money you receive from the state pension.

It's when you buy a financial product which gives you a guaranteed, lifetime income.

It's when you take all of your pension pot and put it into a regular savings account, and spending it from there.

It's when you keep your pension pot invested, and take regular amounts out of the pot to provide you with a regular income.

What is a "defined benefit" pension?

A rare type of pension, where your employer promises to pay you a retirement income based on certain criteria (e.g. years of service in the company).

A pension which can be passed to your children, as an inheritance.

A pension which also comes with private health insurance.

A pension which only pays out if you qualify for certain government benefits in retirement.

What is a "defined contribution" pension?

A pension which pays you a certain retirement income, based on the government's assessment of your lifetime contribution to society.

Another type of government pension, which "tops up" your state pension if you are unable to cover your living costs in retirement.

A common type of pension scheme, where you build up a pot of retirement money over time by regularly contributing to it.

A special type of pension available to people with disabilities.

. If you have build up a pension pot, how much are you allowed to legally withdraw as a lump sum, TAX-FREE, once you hit the point where you can start accessing that money (Question 6)?

All of it, if you want to!

None of it. You must either keep it invested, or buy an annuity.

Up to 25%.

Up to 50%.

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