Tuesday, February 9, 2010

Pension income falls 70pc in a decade

http://www.telegraph.co.uk/finance/personalfinance/7196222/Pension-income-falls-70pc-in-a-decade.html

This works in dollars to not just pounds.


Falling stockmarkets and annuity rates have decimated pension income over the past 10 years, according to Moneyfacts. In its quarterly insight into personal pension payouts it revealed that the average personal pension pot has dropped by a staggering 60 per cent over the last decade.

According to the survey, someone who had paid £100 gross per month into a balanced managed fund for the preceding 20 years would have built up a pension fund of £40,749 if they retired now, compared with £103,914 if they had retired a decade ago.

The situation facing many pension savers would have been even more desperate had it not been for