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Retirement Pension Changes

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Retirement Pension Changes

Retirement pension illustration

📊 Part 1: Understanding Pension Changes

1. What is the current State Pension age for people born after 1960?

65 years old

66 years old

67 years old

68 years old

2. Which of these are types of workplace pensions? (Select all that apply)

Defined Benefit (DB)

Defined Contribution (DC)

Auto-enrolment

Personal Savings Account

3. What is the minimum employer contribution rate for auto-enrolment pensions?

2%

3%

5%

8%

4. The triple lock system protects State Pension increases by guaranteeing the higher of:

2.5%

Inflation rate

Average earnings growth

Bank of England base rate

💰 Part 2: Pension Calculations & Analysis

5. Sarah earns £28,000 per year. If she contributes 5% and her employer contributes 3%, calculate her total annual pension contributions:

Total annual contributions: £_____________

6. Complete the sentence: Auto-enrolment means that eligible employees are _____________ enrolled into a workplace pension scheme, but they can _____________ if they choose to.
7. Explain one advantage and one disadvantage of the State Pension age increasing:
8. A business is considering changing from a Defined Benefit to a Defined Contribution pension scheme. Explain how this change might affect:

a) The business:

b) The employees:

🎯 Part 3: Extension Activity

9. Research Task: Find one recent news article about pension changes in the UK. Summarise the key points and explain how it might affect businesses or employees:
10. Case Study: Design a pension communication strategy for a small business (50 employees) introducing auto-enrolment. Consider different learning needs:

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