A new flat-rate state pension - amounting to £144 per week in today's money and set to start in April 2017 - has been outlined by the government.
But will the new single-tier offering really be superior to the existing system, which has been labelled as "horrendously complex"?
The government is sure it will. "The implementation of the single-tier pension will significantly simplify the pension system, helping people to understand what they will get from the state when they retire," it said.
By its calculations, by the mid-2030s, over 80% of people will receive the full weekly amount of single-tier pension, "narrowing the range of pension outcomes in comparison to the current system and improving certainty".
The verdict on the new single-tier flat-rate state pension
Saga director-general, Ros Altmann, said the system means that the UK finally has a state pension that people could understand.
"The current system is so confusing that most people do not know what they will get from the state and nearly half of pensioners end up needing means-tested benefits to avoid poverty.
"The new flat-rate state pension would be simpler and more generous, it would be understandable, would avoid mass-means-testing and would mean people could plan to build on top of the basic minimum state pension if they want more than the £145 a week in retirement."
Meanwhile, the public services trade union, UNISON, said that, though the deal is being lauded as good for pensioners, £144 remains "well below the poverty line".
"More will need to be done to prevent workers finding themselves desperately poor in retirement," said Karen Jennings, UNISON assistant general secretary.
""Who will be worse or better off following these changes will depend on salary growth, which remains stagnant for many workers, including millions in the public sector, and inflation, which continues to eat at the income of low earners."
Andy Zanelli, head of retirement planning at Axa Wealth, said the development would make financial planners' jobs easier.
"[The £144 figure] gives a clear starting point to the retirement income aspect of the overall financial plan. Once eligibility is established there is a clear and definable number to factor in which is the core of the retirement plan."
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An added tier of asset management can of course deliver additional benefits for certain investors, writes Graham Bentley - just be sure you can justify it to the regulator and, especially, the client