Workers not planning for retirement

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Workers not planning for retirement

A third of workers globally do not have a retirement plan, according to research by Aegon.

The survey of 14,400 employees and 1,600 retired people across 15 countries found that providing workers with access to workplace pension plans is a significant factor in ensuring that they are saving for their retirement.

41% of those surveyed have a retirement plan with employer contributions while 65% of workers found the idea of auto-enrolment appealing.

Further findings show:

  • 38% of workers globally don’t have a retirement plan
  • 42% of women do not have a retirement plan

The study found that many individuals are looking for advice when it comes to retirement planning. Many turn to family and friends for advice rather than professionals..

The role of the state

Across all the countries surveyed, workers expected to receive 46% of their retirement income from a government retirement scheme.

In the UK workers are eligible for the new state pension if they were born on or after 6 April 1951 (men) or 1953 (women).

As of 6 April 2016, the new state pension is £155.65 per week. Workers will usually need at least 10 qualifying years to receive any new state pension.

People who reached state pension age before 6 April 2016 will continue to receive their pension under the old rules.

Contact us to talk about retirement planning.

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