Warning of pension financial savings for individuals who speed up retirement financial savings throughout the pandemic

New research from Standard Life Aberdeen has found that more than a third (37%) of people nearing retirement have accelerated their plans due to the coronavirus crisis.

The study found that bans, health concerns from the ongoing pandemic, and the risk of job insecurity were the top three reasons behind the acceleration in retirement.

However, women nearing retirement were less confident than their male counterparts that they were financially ready to quit their jobs for good.

The study, which is featured in Standard Life Aberdeen’s Class 2021 report, also found that a third (34%) of women were very financially confident about getting out of the job, compared with two in five men (43%).

Continue reading
Continue reading

It was also highlighted that more than a third (37%) of those looking to retire this year were concerned about not having enough money to survive in the later years.

Standard Life Aberdeen also said that people who retire in 2021 want to spend an average of £ 21,000 a year on retirement.

The average value of a 2021 class retirement pot was £ 366,000 – but a third (33%) of respondents had saved less than £ 100,000.

John Tait, Age Counseling Specialist at Standard Life Aberdeen, said, “Many people who are retiring this year are at risk of running out of money when they retire. Retirement is a marathon, not a sprint, and many could do without it adequate preparation or retirement. ” Planning.

“Retirement pots are without a doubt the most popular option for funding retirement, but it is so important that retirees consider any other savings or assets they can use when deciding whether or not they can afford to retire Not.”

Almost half (48%) of respondents planned to cut down on their usual expenses to support themselves in retirement, while a quarter (27%) plan to work part-time to help out financially.

One in five (21%) planned to sell or downsize their home to finance retirement.

The report also found that people had concerns about retiring during a pandemic.

Most read money stories today

More than half (51%) feared they would not be able to do the things they planned, while two-fifths (43%) feared not being able to see friends and family.

Three in ten (29%) were concerned that their pensions could decline in volatile markets, and nearly one in five (17%) had seen their income decline in the past year.

Ben Hampton, Senior Counseling Director at Standard Life Aberdeen, said: “We hope the results of our research will help inspire and spark a spark within tomorrow’s retirees to create a plan to work on for theirs Retirement can trust. “

In February 2021, around 2,000 UK adults were surveyed who were either due to retire in the next 12 months or who had retired in the last 12 months.

Get the latest money saving and benefits news delivered straight to your inbox. Sign up for our weekly money newsletter Here.

Comments are closed.