Almost two-thirds of employed over-50s plan to retire later than they expected to 10 years ago, a report from Aviva has claimed.
The study of more than 2,497 adults suggested 63% of people over the age of 50 are willing to push back their retirement date to work longer. However, almost half (44%) of these older workers said their employers provide insufficient support when it comes to realising their career ambitions and objectives. The survey also found that 38% of those who planned to work longer were doing so because they had insufficient retirement savings. Aviva urged employers to provide more assistance in the form of flexible working and help with retirement planning, to avoid workers over the age of 50 becoming “disheartened and discouraged”. Lindsey Rix, managing director of savings and retirement at Aviva, said: “Older employees have a lot to offer, despite the challenges they face around workplace support. “Employers need to provide rounded support for this generation where their wellbeing and work-related needs are considered alongside the financial challenge of saving for retirement.” Aviva’s research echoes the findings of a separate study from SunLife earlier in 2018.
The SunLife report claimed two in five people over the age of55 worry about whether their pension will cover retirement, and 43% fear their savings will run out before they die. Both surveys suggest fewer people over the age of 55 are accessing their pension pots early following the launch of pension freedoms in 2015. The freedoms allow over-55s to take 25% of their pension pot as a tax-free lump sum with the rest taxed at their marginal rate of income tax.
We can help plan your retirement savings.