Retirement may seem like a distant dream for your employees, but no matter how old they are, it is never too early for them to start making plans for how they will live after their career has come to an end.
They can choose to enrol in the workplace pension or join a private scheme. Either way, taking that first step is the most important.
But it is important to impress on your workforce that before they start patting themselves on the back for setting up a pension pot, that is not the end of the matter. If they have taken out a pension at the start of their career and plan on working until they are in their sixties, that is a long time to leave that money unattended.
Being able to offer a workplace pension review will be useful for them to stay on track.
All change
Throughout our lives, our circumstances frequently change – we get married, have children, sometimes get divorced and even get re-married. When your employee sat down initially to discuss their retirement, did they envisage sharing it with a spouse and grandchildren? And did they allow enough money in the pot to fund the cruises and family holidays that will be expected.
If the answer is no, then having a pension review clinic at work will be invaluable. This will give them the opportunity to see how their investments are growing and to calculate if they are going to need to save more money each month to pay for the lifestyle they want to have in their latter years.
Get it right
It will also prompt your employee to check all their information is up to date. Changes of address can be overlooked, but, more importantly, is the person named on their expression of wish form still correct? No-one wants their ex getting hold of their money in the event of their death!
Being able to offer regular reviews in the workplace is more convenient for your staff than them trying to organise to see a financial adviser in their own time.
Help your employees get it right so they can enjoy sun-kissed beaches; they’ll probably send you a postcard to say thanks!