Extra pension contributions from Sampension customers into their pension pots have tripled in just four years, the provider has revealed.

Sampension said that its customers have never before invested so much extra money into their pension savings. In recent years, Danes have turbo-charged their savings, and this can now also be seen in the voluntary contributions to the pension.

Extra pension contributions into Sampension amounted to DKK 124m in 2021, a 30 per cent increase compared to 2020, where additional contributions stood at DKK 95m. Since 2017, extra pension payments have almost tripled.

Sampension marketing and customer advisory manager, Anne-Louise Lindkvist, said: “The savings drive is very widespread in Denmark, and Danes are generally diligent in saving. In recent years, we have accelerated further savings, which the coronavirus crisis has also helped to accelerate. This development is now also reflected in the fact that the voluntary contributions to the pension savings reached a record high level last year.”

She added that the increase additional pension contributions may also be related to the low-interest rate level in the banks.

“Many Danes have money in the bank that stands for no or even negative interest rates. This means that bank savings are continuously becoming less valuable and losing purchasing power – also as inflation rises.

"If the purpose of the savings in the bank is to strengthen finances in retirement, it may be a good idea to consider putting some of the money into a pension, as it provides both deductions and simultaneous returns over the years. And there are certainly more people who have opened their eyes to this opportunity in recent years,” Lindkvist said.

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