You are here: Home - Household Bills - News -

Pension changes see over 50s adapt income and retirement expectations

0
Written by: Paloma Kubiak
16/05/2018
Two million over 50s are set to retire many years later than planned or with less income following the changes to the state pension age.

Two thirds of those aged 50+ are aware of the state pension age equalisation and a quarter (28%) have altered their retirement plans as a result.

But more women than men are changing their retirement plans, according to Retirement Advantage – 21% of men said they’ve changed their plans, against 35% of women.

The income and equity release firm said the changes are hitting women more acutely. A third of those who are changing their plans said they will retire six to 10 years later than planned. This is double the proportion of men doing the same.

Further, 20% of women said they will retire with less income than expected, compared to one in seven men.

In contrast, a majority of men (69%) said they will retire between one and five years later, compared to 55% of women.

Worryingly, the research also revealed that nearly two thirds of women (59%) of more than 1,000 people polled, either haven’t requested a state pension forecast, don’t know what it is, or how to get one.

You can check your state pension forecast on the government website.

Andrew Tully, pensions technical director at Retirement Advantage, said: “These findings make clear the significant impact the changes to the state pension age are having on retirement plans. It’s also clear the equalisation of state pension age is changing women’s plans to a greater degree than men.

“Many over 50s are telling us they have heard there are changes to state pension ages but don’t know the details. It’s important everybody approaching retirement requests a state pension forecast and consults a professional financial adviser to get a better idea of how the changes may affect them. Getting advice now is one of the best ways of ensuring your retirement plans stay on track.”

When can you retire?

The state pension age is increasing for women and rising between April 2010 and November 2018 from 60 to 65.

It will increase to 66 for both men and women between December 2018 and October 2020. It will then increase to 67 for both men and women between 2026 and 2028.

Finally, it will increase to 68 which has been suggested to be between 2037 and 2039, however the government has yet to include this in legislation.

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Are you a first-time buyer looking for a mortgage?

Look no further, get the help you need by searching for your perfect mortgage

Five ways to get on the property ladder without the Bank of Mum and Dad

A report suggests the Bank of Mum and Dad is running low on funds. Fortunately, there are other options for st...

The essential Your Money guide to the April 2018 tax changes

As we head into the 2018/19 tax year, a number of key changes take place to existing policies while some new i...

A guide to switching energy provider

All you need to know about switching from one energy supplier to another.

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Having a baby and your finances: seven top tips

We’re guessing the Duchess of Cambridge won’t be fretting about maternity pay or whether she’ll still be...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

YourMoney.com Awards 2018

Now in their 21st year, our awards recognise the companies offering the best products and services to consumers

Money Tips of the Week

  • According to @YourMoneyUK the #Govt is considering a Care ISA’ which would be exempt from #inheritancetax. Could th… https://t.co/hPVZZfdyDr
  • RT @unitetheunion: “We need tough action against unscrupulous debt collection agencies who prey on people’s misery to ramp up the debt thro…
  • RT @unitetheunion: “We need tough action against unscrupulous debt collection agencies who prey on people’s misery to ramp up the debt thro…
Read previous post:
2280303-tax-coins
Hargreaves Lansdown investors in limbo over £15m discount tax rebate

HM Revenue & Customs is to appeal a legal decision that could have opened the flood gates for clients of...

Close