Uncertainty over pension savings
49% of people are worried that they will not have enough pension savings to be comfortable in retirement.
Research by Citizens Advice found that 50% of people said they hope to have enough income to support their long-term retirement plans.
However, 24% of people are afraid of their pension savings running out.
The research also found that 1 in 5 (22%) are confident of the value of their pension savings.
Of those who do not know the value of their pensions:
- 18% have small pension pots but don’t know how to calculate their combined value
- 21% believe that their pot is too small to be worth looking into its value
- 15% don’t want to think about their retirement
- 18% don’t know how to find out about their pension savings.
Citizens Advice research also identified 3 barriers which stopped people from understanding their pension worth, these were ‘fear of the unknown’, ‘multiple income streams’ and ‘to do lists’.
Auto-enrolment has been highlighted as an important measure to help people save money but research has added that it alone will be unlikely to get pension saving levels to where they need to be in the long-term.
Gillian Guy, chief executive of Citizens Advice, said:
“At the end of their working life a person’s key hope is to have the income they need to support the lifestyle they want. Yet many are in the dark about whether they are saving enough to be comfortable.”
Talk to us today to discuss about your pension plans.