Pensions are not usually at the forefront of the minds of young employees, yet early engagement with the subject could make accruing sufficient retirement funds much more likely.
Digital marketing firm Flaunt Digital provides pensions education and information for its 30-strong workforce whose average age is 30. The Leeds-based firm recently introduced monthly financial advice workshops, led by chief financial officer Chris Ayres, which have included talks on pensions. “It’s astonishing to find that a lot of employees know very little about pensions, what control they have, and what it means for their future,” he says.
The workshops covered everything from explaining what a pension is to accessing pensions early. Ayres also explained some of the nuances of pensions, such as tax allowances and how much people should be aiming to have in their pot for retirement.
“There has definitely been an increased awareness of the advantages of early planning and saving for pensions on the back of the financial presentation given, with more people having requested to take a deeper dive into pensions in future workshops,” he explains.
Flaunt Digital’s workplace pension is the standard Nest pension, with 5% contributed by staff and 5% by the business. Details of the pension scheme are covered in depth as part of its new starter onboarding process and communicated regularly to staff. Ayres also makes himself available to answer any questions that staff might have. Further pensions workshops are planned soon.
“My door is also always open for our employees to ask questions about pensions and other financial matters, not only during the talks but at any point where a question may arise,” says Ayres. “By opening the door to financial learning, we hope to give our employees some of the basics that they might otherwise be left to teach themselves.”