Cover story
4 / 5
[ NEST ]
Hannah Smith reveals what
retirement for the average NEST
saver actually looks like – and it
isn’t a pretty sight
The grim
reality
A single person needs an
income of at least £10,200 a
year in retirement to be able
to meet all their basic needs
and still enjoy life
A
uto-enrolment has been
hailed as a success since
launch in 2012, bringing
10 million people into
a workplace pension scheme. But
has it really provided a solution to
the pensions timebomb? Below is
the profile of an average member of
NEST [National Employment Savings
Trust], which is by far the largest
scheme, to see what lifestyle they will
be able to afford in retirement.
Sarah, aged 26
Sarah, aged 26, is a typical saver into
the government’s NEST pension
scheme. She makes £18,000 a year in
a retail job and also works in a pub at
the weekend to earn extra cash. Part
of Generation Rent, she is flatsharing
and struggling to save much money
as her rent eats up one-third of her
TRUSTNET
trustnet.com