Saving £100 a month could give you a £20k pension pot in 10 years – here’s how

• Saving £50 or £100 a month into a pension can build a £20,000 pot in roughly 16 or 10 years respectively, boosted by tax relief and compound growth.
• Basic-rate tax relief automatically adds 25 per cent to personal pension contributions, while higher-rate taxpayers can claim additional relief from HMRC.
• Self-invested personal pensions (SIPPs) allow individuals to choose their own investments, making them ideal for self-employed workers or those topping up workplace savings.
• Financial experts recommend clearing high-interest debt, building an emergency fund, and maximising workplace pension matching before contributing to a SIPP.
• New investors should carefully compare platform fees and fund charges to prevent cost structures from eroding smaller pension pots over time.

IN FULL

How to build a £20,000 SIPP from scratch – starting with just £50 a month