[Pension] When to up matched contributions?
Following the flowchart, at the moment i am at the "build 3-6 month emergency fund/pay off debts @ 4%" stage. I'm currently only paying in 2.5% to my matched pension for a total of 5%. My pension projection reads an estimated £143,500 at age 65. This seems a little low for me, so i'd like to up the contributions to maybe 5%.
Is now the time to do this, or should i wait till debts are payed off (probably another 2 years if i am being realistic) and emergency fund is healthy? For arguments sake, lets say upping to 5% would be another £55pm less i would have each month. I've heard its better to up it straight away, and the flowchart has this step before paying off debts, but this would leave me tighter each month after also paying down debts and building the EF. Thoughts?
Posted Jul 3, 2018, 9:12 AM UTC