How changing work patterns can affect retirement outcomes – more clarity for your employees

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Work pattern changes come in many forms. Whether an employee moves from full‑time to part‑time hours, takes a career break or adjusts their hours for a period of time, these decisions can have a noticeable effect on their future retirement income. Until recently, it’s been difficult for individuals to get a clear picture of what these changes might mean in practice. Standard Life is aiming to change that with a new Scenario Modeller that sits within our Retirement Income Tool.

This new feature lets employees see both their current projection and a revised projection that reflects the changes they are planning to make. The comparison is presented in a clear, simple format that helps bring the longer‑term impact into focus. Below, we explore how this enhancement can support you in helping your employees plan for the retirement they want.

 

Why clearer insight matters

People move to part‑time work for many reasons – caring responsibilities, health challenges or simply a desire to adjust the balance between work and home life. These changes can be positive and can allow people to remain in employment while continuing to earn and save, but they may also reduce the amount going into their pension. Over time, this can influence the income they receive in retirement.

Research from the Standard Life Centre for the Future of Retirement shows that women are particularly affected by changes in working patterns. Life events such as motherhood, divorce, childcare and menopause often lead to shifts in hours or time away from the workforce. This, in turn, can affect their ability to save. 

Our Caught in a gap – the role of employers in enabling women to build better pensions report highlights that by the age of 50, when one in four women have caring responsibilities, men (aged 45-54) are contributing around 50% more per month (£80) into their pensions. The Retirement Voice 2025 report also found that men were more likely than women both to have increased their pension contributions and to feel positive about their current financial situation.

Taken together, these insights underline the need for clearer and more personalised information to support better decision‑making.

 

Introducing the Scenario Modeller

The Scenario Modeller built within the Retirement Income Tool makes understanding how different working patterns could affect their future retirement income straightforward for employees. It’s as simple as entering their current hours, the hours they intend to move to and how long the change will last into the tool, which they can access via the Standard Life dashboard or app. And if they think their working pattern’s likely to change more than once, they’re free to make multiple updates. 

The tool then presents a before and after comparison of projected retirement income. This makes it easier for employees to see the potential long term effect of their decisions and to consider how they might adjust their savings to stay on track.

 

Helping employees make informed choices

Having access to personalised projections gives employees a clearer view of their financial future. It can help them feel more confident in the decisions they make about their working lives and highlight practical steps they may take to offset any reduction in contributions, such as increasing payments for a period of time or checking their nominated retirement date.

This update sits alongside other enhancements being introduced to the Retirement Income Tool, including a more intuitive graph based display and greater flexibility around state pension inputs. Together, these changes are designed to support a more engaging and informative digital experience.

 

Supporting financial wellbeing in the workplace

For employers, the Scenario Modeller can play a helpful role within a wider financial wellbeing strategy. Many organisations recognise the effect that financial uncertainty can have on employees. By giving people a clear, accessible way to understand the future effects of working pattern changes, the tool can reduce stress and prompt constructive conversations about retirement planning.

It also complements the Ready to Go materials already available, giving employers a range of ways to signpost support.

 

Giving employees confidence in their financial futures

Working patterns are becoming more flexible, and many employees will move in and out of different arrangements over the course of their careers. By offering a simple, personalised way to explore the long‑term effects of these choices, the Scenario Modeller helps people plan with more clarity and confidence.

Ultimately, it helps employees plan for the retirement they want – and enables employers to provide more meaningful support.

To see the tool in action, you can watch our video, or if you have a Standard Life pension, log in via the dashboard or app, go to Discover, and try the Retirement Income Tool yourself.