Britons are being urged to check how much state pension theyâre set to get before they retire, to avoid running the risk of a ânasty surpriseâ.
More than a third of retirees did not get a state pension forecast before they retired, new research shows.
A survey of more than 1,000 retired and semi-retired over 55s found four in 10 (38 per cent) had not checked their forecast.
This increased to 40 per cent among those aged 55 to 64, meaning they had not yet reached state pension age, and 46 per cent who claimed to have retired earlier than they had expected.
Among the almost two-thirds of retirees who did check their forecasted state pension income, nearly a fifth (17 per cent) said it was at least £250 less per year than they were expecting, the research from Just Group found.
Meanwhile, one in ten (nine per cent) of those who did check were pleased to find their state pension was at least £250 more per year than they had thought.
Stephen Lowe, group communications director at retirement specialist Just Group, urged working-age Britons to get a state pension forecast before they retire, so they donât get a shock when they do leave the workforce.
He said: âThe state pension is the bedrock of retirement income for millions of retired households.
âItâs easy to see why people may assume theyâll simply get the full state pension, but for many people this wonât be the case.
âThe last thing these households need when they come to retire is the nasty surprise that their state pension is less than they thought.â
Mr Lowe said he âurges anyone approaching retirementâ to use the governmentâs state pension forecast service, âideally in advance of beginning to retireâ.
The state pension forecast tool is available on the government website, and itâs also possible for those not reaching state pension age within 30 days to get a forecast by post.
WATCH NOW: GB News panellists discuss triple lock in November 2023
The service will tell people how much state pension they are set to get, plus how to increase it, if they can.
Mr Lowe added: âThere are a number of factors that affect the total value of an individualâs state pension. People may be missing National Insurance credits because they were claiming benefits whilst they were ill, unemployed or for other such reasons.
âGoing back to fill these gaps in your National Insurance record or buying extra credits can shore up the state pension youâre entitled to receive.
âGetting an accurate, up to date picture of what income you can expect in retirement is an important first step in planning later life finances.â
Robert Johnson is a UK-based business writer specializing in finance and entrepreneurship. With an eye for market trends and a keen interest in the corporate world, he offers readers valuable insights into business developments.