One in seven (14%) of those planning to retire this year have made no personal pension provision and will be either totally or heavily dependent on the State Pension, according to research by Prudential.
The insurer’s seventh annual ‘Class of’ study, tracking the future plans and aspirations of people who plan to retire this year, shows that in the Class of 2014 women are nearly three times more likely to rely on the State Pension than men – 20% of women say they have no pension savings compared with seven per cent of men.
The reality of many people’s reliance on the State Pension is underlined by the research, which shows that nearly one in five (18%) of those planning to retire this year will have an income below the Minimum Income Standard as defined by the Joseph Rowntree Foundation. JRF estimates that a single pensioner needs an income of at least £8,600 a year
to reach a minimum socially acceptable standard of living; a retired couple needs an annual income of more than £12,500.
Put quite simply, don’t let this happen to you. In fact do you know if this is you?
If you’re unsure where you stand on pensions or your future income, pop in for a free no obligation chat and put your mind at rest.