A third of workers are piling extra cash into their pension every month

One in three pension savers have voluntarily hiked monthly payments into their pot to improve their prospects of a comfortable retirement, new research reveals.

Many are likely to be maxing out free extra contributions from employers which offer to pay in a higher percentage of your salary if you do as a perk of the job.

But others might have heeded money experts' encouragement to save more proactively to achieve a decent income in old age, even if their employer only puts in the minimum required.

Under auto enrolment, employers are required to put at least 3 per cent of your earnings between £6,240 and £50,270 into your pension, unless you opt out.

You must put in at least 5 per cent on your own behalf, although that includes the 1 per cent free top-up you get from tax relief.

One in 10 people with a workplace pension have also put one-off lump sums into their pensions, according to the study by Standard Life.

The firm says someone boosting monthly contributions from 5 per cent to 7 per cent can save £52,000 more and reach a £262,000 pot over their working life, assuming they start working at age 22 on a salary of £25,000 and retire at 68.

Below are the increases you could see after hiking contributions by different amounts each month.

Standard Life surveyed 6,000 people who are saving into their employer's pension scheme, but other than that they were weighted to be representative of the UK population on age, gender and geography.

'It’s great to see so many people taking charge of their financial future – and the best part is, you don’t need to make huge changes to see a big impact,' says Dean Butler, managing director for retail direct at the firm.

'Even small top-ups, whether monthly or occasional, can add up to tens of thousands of pounds over a working lifetime.

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'Starting early and contributing consistently is key, and some employers will match additional contributions, giving your savings an even greater lift. If you’re able to save more, your future self is likely to thank you.'

Standard Life has also calculated that making nine one-off payments of £1,000 every five years between the ages of 25 and 65 could boost your pension pot by £11,000 by retirement age.

That is based on the same assumptions about salary, investment growth, charges and so on as in the table above.

The Government recently launched a Pensions Commission to try to stop future retirees ending up poorer than older people today.

It says nearly half of working age adults are saving nothing at all into a pension - despite the success of auto enrolment into work schemes - and nearly 15million people are under-saving for retirement.

It will explore the 'complex barriers stopping people from saving enough for retirement', and report back in 2027.

> How to top up your work pension: Here's what info and admin will be required

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> How to defend your pension from the taxman

> Are you retirement ready? Take our quiz and get financial planning help

Dean Butler of Standard Life offers the following tips.

1. Check if your employer matches extra contributions: Often, your employer will increase their contributions if you increase yours.

That’s effectively free money towards your retirement, so it’s worth finding out if this applies to you and taking advantage.

2. Take advantage of salary sacrifice: Some employers offer salary sacrifice arrangements, where you agree to reduce your salary in exchange for pension contributions.

This can lower your National Insurance (NI) contributions and potentially increase your take-home pay, while boosting your pension at the same time.

3. Use pay rises as a trigger: When your salary goes up, consider directing a portion of the increase into your pension.

You won’t miss money you never had, and it helps your savings grow steadily over time.

4. Make use of pension tax relief: Contributions usually benefit from tax relief, which means a £100 contribution could only cost you £80 if you’re a basic-rate taxpayer.

Higher and additional rate taxpayers could get back even more, so it pays to check what you’re entitled to.

5. Consider putting in lump sums when possible: If you receive a bonus, inheritance, or even a tax rebate, paying some or all of it into your pension could give your savings a meaningful boost without affecting your monthly budget.

It can be a particularly good way to reduce the tax you pay on your bonus, and thanks to compound investment growth, the value of your lump sum could be significantly greater by the time you retire.

6. Keep an eye on limits: Most people can save up to the lower of £60,000 each tax year (including tax relief and employer contributions) or 100 per cent of their annual income without a tax charge.

But if you’re a higher earner or already have a large pension, check how the rules apply to you.

7. Review contributions regularly: Your financial circumstances can change over time, so it’s a good idea to review your contributions at least once a year.

Consider using an online pension calculator to check if you’re on track, and take action if needed. Even small, consistent adjustments can have a big impact on your future pot.

8. Balance short and long-term priorities: While it’s important to plan for retirement, make sure your contributions are affordable alongside other priorities like mortgage payments, bills, or family needs – and consider your ‘rainy day’ savings.

As a general rule of thumb, it’s a good idea to have three to six months of expenses available as an emergency buffer – if this is covered, you might be in a strong position to prioritise the future.

1) If you are worried about whether you will have saved enough, investigate your existing pensions. Broadly speaking, you need to ask schemes the following questions.

- The current fund value.

- The current transfer value - because there might be a penalty to move.

- Whether the pension is in a final salary or defined contribution scheme. Defined contribution pensions take contributions from both employer and employee and invest them to provide a pot of money at retirement.

Unless you work in the public sector, they have now mostly replaced more generous gold-plated defined benefit - career average or final salary - pensions, which provide a guaranteed income after retirement until you die.

Defined contribution pensions are stingier and savers bear the investment risk, rather than employers.

- If there are any guarantees - for instance, a guaranteed annuity rate - and if you would lose them if you moved the fund.

- The pension projection at retirement age. You can use a pension calculator to see if you will have enough - these are widely available online.

2) You should add the forecast figures to what you anticipate getting in state pension, which is currently £230.25 a week or nearly £12,000 a year if you qualify for the full new rate. Get a state pension forecast here.

3) If you are tempted to merge your old pensions, read our guide first to ensure you won't be penalised.

4) If you have lost track of old pots, the Government's free pension tracing service is here.

Take care if you do an online search for the Pension Tracing Service as many companies using similar names will pop up in the results.

These will also offer to look for your pension, but try to charge or flog you other services, and could be fraudulent.