Two pieces of research have again highlighted consumer confusion and concerns around pension provision and thereby the necessity for people to take control of their retirement planning.
- STATE PENSION OVERESTIMATED Firstly, a survey by Which?6 found that three in ten people overestimate their future state pension income, some by almost £50,000 over the course of their retirement. There was also confusion about when people receive their pension, with only three in ten correctly identifying the current state pension age. The research therefore vividly highlights worrying gaps in the nation’s pensions knowledge and the consumer champion believes more needs to be done to improve understanding and engagement in order to put people in a position to successfully plan for retirement.
- KEY CONCERN – FUNDING RETIREMENT Other research7 revealed that retirement remains the biggest financial worry across the UK workforce. In total, a third of employees said that funding retirement was their principal money concern, the second successive year this issue has topped the poll. The research noted that a lack of engagement with later life finances was a key problem for employees and is concerned it remains such a big issue. This concern not only relates to finances but also the impact such worries have on employees’ general wellbeing.
- TIME TO TAKE CONTROL While funding retirement certainly presents a challenge to us all, the key to success is undoubtedly careful planning and seeking expert advice. It’s vital to fully understand the unique circumstances and options relating to your retirement finances as that knowledge gives you power. So, don’t spend time worrying: get in touch with us and we’ll help you take control of your retirement.
7Close Brothers, 2019