One in five don't know where all their pensions are: How to track them down

More than a fifth of people don't know where their pension pots are held, data shows - meaning they risk missing out on their own money in retirement.

As many as 21 per cent say they don't know where all of their pensions are, according to figures from Hargreaves Lansdown, while a further 14 per cent said they were unsure.

Just 65 per cent said they did know, rising to 72 per cent of people over the age of 55.

Helen Morrissey, head of retirement analysis at Hargreaves Lansdown, says: 'Over time even the smallest pension will grow, so not tracking it down risks you missing out on thousands of pounds.'

The average person has quite a number of pension pots too, with Charles Stanley estimating that people will have between 10 and 12 employers across their whole working life, all with separate pension schemes.

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Dean Butler, managing director for Retail Direct at Standard Life, says: 'For many, a job change marks the start of an exciting new chapter, bringing new opportunities, fresh challenges, and often an increased pay packet.

'Amid all this change, some considerations like your old pension can get forgotten about, particularly as new employers will likely be automatically enrolling you into a new pension plan.'

'While this may seem like a stress-free process, switching jobs several times throughout your working life could leave you with quite a few pension pots to keep track of.'

According to Pensions and Lifetime Savings Association figures, some 3.3million pension pots, worth an average of £9,470 and a total of more than £31.1billion, have been 'lost' in the UK.

Luckily, it isn't too difficult to find a lost pension in most cases. This is especially the case if you have retained old paperwork from these pension pots.

Morrissey says: 'Tracking them down is a relatively straightforward process that you will thank yourself for. Make a list of everywhere you've worked where you think you may have had a pension, and then check to see if you have paperwork for them.

'If you don't, then give the Government's pension tracing service a call. If you can't remember the name of the provider, then you can still give the name of the company you worked for, and the service can give you contact details so you can track down the pension.'

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The Government's pension tracing service can also be accessed online.

If you can't find your scheme, it might be because your employer has been taken over. You can find out if they were by searching on Companies House or the Government's Charity Register if you worked for a charity.

However easy it may be to find a lost pension, it is of course better to keep track of your pots in the first place.

Butler says: 'With multiple job moves over a career, it's not uncommon to accumulate several pension pots, and managing them can become increasingly complex if they're scattered across different providers.

'When you leave a job, your pension doesn't disappear - it stays invested. However, your own and your employer's contributions stop, and although your savings may still grow through investment performance, ongoing charges can gradually eat into your pot. That's why it's important not to neglect these pensions.'

Butler recommends ensuring that you have up-to-date contact information for your pension provider.

Over the course of a 40-year career, it would be easy to rack up an extensive list of past employers, and as many pension pots to go with them.

Even if you are keeping a track of all of your pots, it can be a tough task to properly manage more than a handful.

Morrissey said: 'You may decide that the best thing to do is consolidate them all in one place. This can save you a lot of time, admin and even cost.

You can do this manually, by requesting pension transfer forms form your providers, but there are also a number of pension consolidation firms that can help you to do so.

'You also get to see how your pension is growing more easily, so you can see if you are meeting your goals. However, before you do so, you need to make sure you aren't potentially falling foul of things like expensive exit fees that you might get with older products,' Morrissey added.

Butler said: 'Keep in mind that consolidation isn't right for everyone. Some older pensions may include valuable benefits that could be lost if you transfer them, so it's essential to do your research and weigh the pros and cons before making a decision.'

These benefits could include guaranteed annuity rates, that you would lose out on by moving your pension.

There are potential drawbacks though. The most important of these is likely to be fees.

Some pension schemes will have exit fees, switching costs or adviser fees, which could eat into the value of your pension, so it is important to consider the potential costs of consolidation and weigh them up with the savings it could offer.

Speaking to a financial adviser could help you to work out what the best option is for you, though this also comes with its own costs.