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MUMS who take time out of work to look after the kids could boost their pensions by £37,000 with a simple trick.

Parents who take a career break to raise children often miss out on tens of thousands of pounds in retirement.

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This is because they stop contributing to their pension during that period, and a break can also impact their salary long-term.

Women typically feel the pinch more than men as they are more likely to take time out of work to raise families or care for older relatives.

In fact, women’s pensions are a third smaller than men’s on average by the time they’re 50.

Research by the Pensions Policy Institute shows they would have to work an extra 19 years to retire on the same amount.

But increasing their pension contributions by just a few hundred pounds a year could mitigate the cost of taking two years out of work.

By saving just 1% more into their workplace pensions throughout their career, they could end up with even bigger retirement pots than if they had no work gaps at all.

A 31-year-old woman – the average age to start a family – contributing the minimum of 8% into her workplace pension could lose £25,000 in retirement by taking a two-year career break, according to number crunching by pension firm Fidelity International.

That’s based on someone earning a mean salary of £26,878 – the average salary for women according to the Office for National Statistics, for 40 years with 2% annual pension growth.

But if she paid in just an extra 1% of her salary towards her pension from the age of 25 – so a total contribution of 9% – she could see her pension pot rise by an extra £35,000.

That’s around an extra £225 a year based on the average salary after tax.

This means she would actually be £10,000 better off even with a two year career break.

And women who only take one year out of work could add almost £37,000 more to their pension pot compared with those who take a career break without increasing their contributions.

Emma-Lou Montgomery, from Fidelity, explained: “Time taken off work can mean time when you’re not saving into your pension, meaning less money in retirement.

“Increasing pension contributions can also prove difficult alongside everyday household and family costs. 

“But this is exactly why it’s so important to start saving into a pension as early as possible.

“By adding that extra 1% to your pension contributions over the course of your career you can make a significant difference to the amount you have in retirement.”

Why are women falling behind with their pensions?

Women typically fall behind men with their pension savings as they are more likely to take time out of work to care for children.

They are also more likely to then take up part time work or work in lower-paid jobs such as cleaning or catering.

The key to boosting your retirement by as much as possible is also to start early – but many aren’t doing this.

Women who are planning to have children, or to take time out of the workforce for any other reason, need to begin bumping up their pension contributions by 25 to feel the maximum benefit later.

Yet, 6.5million savers are putting off pension planning until after significant milestones such as getting married, having kids or buying a house, research by pension and insurance firm Legal & General found.

And we’re hitting those milestones later than ever.

The average age UK adults have their first child is the highest since records began, at almost 32 years old, while the average age to buy a first home is 34 – the highest in decades. 

Meanwhile the average age people now get married – if at all – is 33 for women and men at 35, up from an average of 29 and 32 in the year 2000.

Two out of five UK adults who have not started a family yet said this was why they had put off saving into a pension.

Many people are even waiting until midlife to think about their money, Legal & General found – only engaging with their finances at age 48.

But for women and their pensions, it could be a case of wait and it’s too late.

Paula Llewellyn from Legal & General, explained: “Waiting to reach traditional life milestones like marriage and parenthood before engaging with your finances poses risks. 

“By managing money earlier, you can build a stronger foundation to help navigate life’s uncertainties.”

How can I start boosting my pension now?

The good news is, it’s never too late to start boosting your pension pot.

Every worker already pays into a workplace pension, unless they have opted out.

Your employer has to contribute a minimum of 3% and you pay in at least 5%. This includes a contribution from the Government, in the form of tax relief.

You also basically get more cash for free if you pay into a pension as the Government contributes on top in the form of tax relief.

This means some of your cash that would have gone to the Government as income tax is paid to your pension instead.

Increasing your pension contribution by 1% – or even more, if you can afford to do so – will see your retirement savings start racking up.

Money that goes into your pension is also invested with the aim of growing it over time, so the more you can add, the more extra you could make.