Career ‘pension gaps’ could reduce average worker’s retirement pot by six-figure sums, new report finds

The report by the Institute and Faculty of Actuaries (IFoA) has shown key career decisions, like opting out of an employer’s auto-enrolment scheme, could significantly reduce final pension pots.

A young couple review their pension arrangements. One holds a piggy bank close to their ear, while the other looks at printed documents (image: Getty Images)
People could lose out on hundreds of thousands of pounds due to pension gaps, the IFoA has warned (image: Getty Images)
(Image credit: Getty Images)

Workers could be losing out on six-figure sums due to pension gaps, a new report by the Institute and Faculty of Actuaries (IFoA) has found. 

By making certain career decisions, people could be losing out on a comfortable retirement, the chartered professional body’s ‘How much could you lose?’ report has shown. For example, by failing to take advantage of their employer’s maximum pension contributions, the average employee could be missing out on a significant amount of ‘free money’.

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Henry Sandercock has spent more than eight years as a journalist covering a wide variety of beats. Having studied for an MA in journalism at the University of Kent, he started his career in the garden of England as a reporter for local TV channel KMTV.

Henry then worked at the BBC for three years as a radio producer - mostly on BBC Radio 2 with Jeremy Vine, but also on major BBC Radio 4 programmes like The World at One, PM and Broadcasting House. Switching to print media, he covered fresh foods for respected magazine The Grocer for two years.

After moving to NationalWorld.com - a national news site run by the publisher of The Scotsman and Yorkshire Post - Henry began reporting on the cost of living crisis, becoming the title’s money editor in early 2023. He covered everything from the energy crisis to scams, and inflation. He also has bylines in MoneyWeek.