New Which? research reveals that people aged 20 need to be putting away at least £131 a month to have a comfortable retirement, while those waiting until their 50th birthday to start a pension need to save £633 a month.
Retired couples need £18,000 a year to cover household essentials – such as food, utilities, transport and housing costs – rising to £26,000 allowing for extra treats, such as a short-haul holidays and some leisure activities.
A luxurious retirement, filled with new cars and exotic holidays, requires an annual income of £39,000. The results come from a survey of more than 1,500 retired couples, who shared their spending behaviour with Which?