What is a pension and how does it work? 


 A pension is basically a long-term retirement plan that you build up over your working life so that in later life you have more money to live off.

 Advantages of a pension:

  • You pay in money regularly.
  • You get a top up from the government in some countries.
  • Your employer can pay in money as well.
  • You can pay into someone else’s (like a spouse or child’s).


Types of Pensions:

  • State Pension
  • Stakeholder Pension 
  • Workplace Pension

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