A pension is a benefit that is usually provided to employees by their employer as a retirement plan. It is a source of income for individuals after they reach a certain age and are no longer able to work. Pensions are often seen as a form of financial security for retirees, as they offer a steady stream of income that can help cover living expenses and other needs. Depending on the type of pension, the amount of the benefit may vary and can be based on a number of factors such as length of service, salary, and contributions.

There are different types of pensions, including state pensions, occupational pensions, and personal pensions. Each type has its own set of eligibility requirements and benefits. State pensions are funded by the government and are available to all citizens who reach a certain age and have paid enough national insurance contributions. Occupational pensions are provided by an individual’s employer and may require a certain length of service or contributions by the employee. Personal pensions, on the other hand, are self-funded and can be set up by individuals to save for their retirement. It is important to research and understand the different types of pensions available in order to make informed decisions for future financial stability.