7 smart ways to grow your pension
Your pension probably isn’t top of your to do list right now. It’s likely buried below an inbox full of emails, returning that Amazon package and a few loads of washing.
But a healthy pension pot means the future you have a little more freedom and a lot less stress.
Here’s our top tips on how to easily give your pension a boost.
1. Pay a little more.
This sounds obvious, but we do really mean a little. Even bumping up your contribution by 1 or 2% of your salary will make the difference. Plus, you’ll get a boost from:
- Employer contributions (if you’re in a workplace pension)
- Tax relief
- Compound growth
Had a pay rise or paid off a loan or car? Funnel a bit extra of that spare cash into your pension, you probably won’t even notice day-to-day, but your future self will thank you.
2.The tax win that is “salary sacrifice”
Sounds scary but it’s simple.
- You agree to reduce your salary by a chosen amount (normally quite small).
- That amount goes straight into your pension.
- You pay less income tax and national insurance because your gross pay is less.
If you’re not sure if your company offers salary sacrifice, just ask HR.
3. Start early and stay consistent.
The earlier you start saving, the more time your money has to grow. And when your savings earn interest, that interest grows too.
(Think of it like a snowball rolling down a hill. The earlier you start, the longer it rolls, collecting more contributions, tax reliefs and interest along the way. By the time you retire, it’s not just a snowball. It’s a whole snowman.)
4. Think about switching funds.
Do you know what your pension is invested in? If you’ve never looked, this is a nudge to take a peek.
You can often switch your pot into a fund that matches your risk comfort. Higher risk might mean higher potential returns, but make sure you’re okay with the potential downs as well as the ups.
5. Don’t ghost your pension.
Pensions are like your favourite houseplants, they mostly look after themselves, but a little attention now and then will help them flourish.
Your pension doesn’t need checking daily. But a check-in now and then can help you:
- Stay on track
- Adjust your budget
- Spot new opportunities
6. Learn the stuff they skipped in school
Feel like everyone else is clued up on finances? Think again. 39% of UK adults say they don’t feel confident managing their money¹.
Brush up on your options. You could try a podcast, play with an online calculator, or pick the brain of your most money-savvy friend who’s always the one to split the bill.
Here at Thrive, we believe financial confidence is something everyone deserves. That’s why we built the Thrive Academy. It’s packed with written content, videos, and practical tools. From budgeting to investing, it covers the basics and the big stuff too.
7. Phone a (financial) friend
Sometimes you just need to speak to a real human and have a real conversation.
Thrive’s financial coaches are here to help, and it’s completely free to book a session through the app, whenever it suits you.
And for those bigger decisions we’ll point you to an independent financial adviser. No upselling. No pressure. Just proper support.
So that’s 7 tips for a pension glow-up. Now go water that houseplant in the corner.
1https://www.fincap.org.uk/en/articles/levels-uk?
