What is the difference between a pension and savings fund?

[Bookwormlux]

Based on how things work in my state here, pensions are paid by the government while you get to save your salary by your self or Join some cooperative society.

 

[Dubai]

Well, I believe that a Pension is completely different from a saving fund. In fact, they are not in anyway related and they serve different purposes. A pension is money gotten from an organization where someone has retired while saving funds the other hand has to do with money that was deliberately saved for other purposes but not retirement.

 

[Wiser]

Pension is a long time saving money either from work or retirement,it takes couple of time before withdrawing it,while saving fund you can be able to use it anytime or moment you desires

 

[Psalmseen]

Savings fund is much different from pension but the two is driven towards serving the same purpose.. Pension is given by organization or set up while savings fund is personal money

 

[tyrim88]

Pension fund savings is the money a firm or an organisation keep for you in a secluded account and given to you after your retirement after a certain age or period.
While a savings is a personal account operated by an individual and can be withdrawned at any time.

 

[Ayokex]

A pension is a certain percentage of ones earning removed by the organization on a monthly basis for the purpose of retirement while saving fund is a particular amount saved for future use. One can have access to the saving fund at anytime unlike the pension.

 

[Victor001]

Pension funds is not savings funds, pension funds can only be redirected for saving purposes, savings funds could be the money from every angle that you choose not to spend.

 

[Kingsley]

Pension is what is paid to workers at the expiration of their term of service this will be paid all through their life time while the saving funds are deducted from the income of workers during their term in active service. But this will be paid them after serving.

 

[Erik4150]

Your savings is the money you set aside from your salary to keep for future use. Pension funds is just a percentage of your salary that is deducted and is paid to you on monthly basis when you retired.

 

[Hopey]

I dont think one can have access to the pension until he has retired from the company since pension is organize and run by companies for their retiring workers

Post automatically merged: Apr 30, 2021

Pension is the money paid to the retiree of a company or firm as a result of their service to the company it is removed from their salary during their service year

 

[Ayokex]

A pension fund is an account where the government will use to pay pension into immediately you enter civil service and this is where they will be debiting your pension from immediately you retire from government civil service but for savings account this is an account you open yourself with a commercial Bank for savings only with little interest

Both of the funds are run through bank accounts. The saving fund is the money accrued in a savings account as a result of the owner keeping it for future use while pension fund is the money automatically deposited into the pension account for the purpose of retirement. The kind of money the owner doe not have access to it until after the retirement period.

 

[nimzy]

To my understanding the pensions is the amount in which it is paid to the retired civil servants as a compensation for their services in the public ministry while saving fund may be seen as the amount of money kept for future usage.

 

[Damscooguns73]

Concerning what is the difference between a pension and savings fund. Well, I will say both are quite similar as they are for the purpose of making or having money to cater for future needs, savings fund can be controlled by the individual but pension fee is always removed automatically from your salary

 

[Richard92]

pension and saving fund that almost alike but the big difference between pension and saving for his attention has been paid by the government while saving fund t's your personal service that you can withdraw anytime.

Post automatically merged: May 27, 2021

As you have mentioned a savings account is just storing your money in the bank that you earn a minimal interest every month. A pension fund is like an insurance that you deposit your money in the form of monthly premium. The money collected by the insurance company is invested in high yield financial programs. On the start of your pension after many years of building up your pension plan you are given the monthly or the lump sum. It is the total amount that you have deposited plus the substantial profit of your money based on their investment scheme.

there are slight difference between pension and savings fund pension is being paid by the government why saving fund can be your personal saving for the future.

 

[Ayokex]

Pensions tend to be for a longer period of time than savings or investment plans. Generally, the earliest you can take benefits from a personal pension is aged 60. Therefore, they are usually unsuitable as shorter term savings plans

Pension is a portion or certain percentage of someone's income set aside for the purpose of retirement. The owner doe not have access to such money until the time of retirement. Saving fund is the amount of money kept from someone's income for future expenses

 

[eLdavis]

I dont really have much to say, but i believe there is a very thin line between both. Now in a way both are being kept aside for future use, the major difference is that when it comes to saving, you have free access to it and can be used any anytime. While pension on the other hand, there is no free access

 

[Trexxxy]

I think they are both similar however I think what differentiates them is the purpose for which the funds is intended for. Essentially savings can also be a pension fund as well.

 

[Richard92]

I think they are both similar however I think what differentiates them is the purpose for which the funds is intended for. Essentially savings can also be a pension fund as well.

One big difference between a pension and a saving fund is a pension is received every month why saving fund can be withdrawn at once anytime you need it.

 

[Shigobad2020]

These are looking very similar but there are different things, pension is given by a particular company or department where you have served many years of your life while saving your own funds depend upon you, you can save only for few months or for whole of your life from your own earnings.

Like you just said they ( pension fund and saving fund) looks similar but they are actually bith dufferent things, pension fund is generated by the government or your company for you in order to secure your future when you retired while saving fund isnthe money you actually saved yourself.

 

[Trexxxy]

One big difference between a pension and a saving fund is a pension is received every month why saving fund can be withdrawn at once anytime you need it.

I agree pension funds get paid once a month, why you have access to your savings fund, however, you can some restrictions on your savings account that doesn't allow you to withdraw anytime.