Dissertation (MA Business Administration)The purpose of this study was to investigate the factors affecting savings among pensioners in Tanzania. The study was guided by three specific objectives which were to examine factors hindering most of pensioners to save from their pension’s income, to analyze strategies that can be used to make pensioners save from their pensions and to examine policies that will help pensioners to save. The study involved 57 respondents who were pensioners especially those from PSPF pension fund in Mwanza City Council. Purposive sampling was made to obtain respondents. Both questionnaire and interview as instruments were used to obtain data from the field. Data were analyzed by SPSS 16.0 and were presented quantitatively and qualitatively through tabulation and descriptions respectively. The study found that respondents were aware of the importance of saving and investing for their retirement but because of some factors like obligations they have at homes lead them into failure to save and invest. Other factors include late gratuity payments and pension is paid without regarding time value for money just to mention few. The study recommends that, the government should provide subsidies to social services; pension schemes should pay lump sum on time; employees should start to save and invest earlier before retirement. The researcher also recommended further research to be done on why pensioners are delayed their lump sum payments (gratuity), should look on the impact of the new passed pension fund bill.